Anyone with a 25 year endowment which matured recently ?

pjh1974

For anyone still monitoring this thread, I had an Aviva endowment pay out today.

It was originally a Norwich union policy, which then became CNGU and then Aviva.

It was a with-profits 25 year policy with a monthly payment of £102.17 and was supposed to pay out £64,000.

The policy included a £6800 promise amount and including this, my final payout was £56,100.

silvercar

Shedsitter said:

One other thing - the reason I'm trying to work it out is that we're on a tracker mortgage (0.75 above the BoE rate). So I'm trying to work out if it's worth us cashing in and paying it off with (basically all) our savings in order to get mortgage free before rate hikes come in.

I wouldn't use up all your savings, you need some kind of rainy day money in case the boiler breaks etc

tifo

BirnamBear said:

Just curious as I have one with Scottish Widows which matures a year from now which was for 40k.

Remember 24 years ago the RBS telling me that I would double my money !!

I had this one too, also 24 years ago but several years after taking it they were judged to be mis-sold so got all money paid back. I think Scottish Widows stopped selling them. They were sold with a 7% growth pa.

FlimFlam01

mine is maturing on the 31st March, was hoping it might get paid before the end of the tax year so I could stick it in an ISA but looks like it might take a bit longer unfortunately according to the paperwork from Aviva although they have confirmed they have everything they need from me to pay it into my bank account so fingers crossed.

t4mof

My endowment with Aviva taken out on first house buy matured on 01/01/24 and we received the money today.

Target amount was £44,297
Monthly £71.97 for 25 years

Total payment received £33,678.74

All going onto current mortgage which we got down to just under £100k in December so now onto final push to clear.

jill_stanton

Does anyone know if these aviva endowments are qualifying from a uk tax perspective. 

dunstonh

jill_stanton said:

Does anyone know if these aviva endowments are qualifying from a uk tax perspective. 

The qualifying ones are.  The non-qualifying ones are not.    Or putting it another way, Aviva have both types in their legacy product range

eldy123

I suspect this thread has become quiet now as everyone's endowments have now paid out but I seem to be in an unfortunate situation in that mine is a 45 year term and still have 12 years till maturity.

I have a Standard Life "Endowment Assurance" paying £50 a month, current value at £36k. It has Life Cover and is "With-Profits", not related to any mortgage though as my Parents took it out for me in 1991 and still paying the monthly payment.

I've calculated that return has averaged 3.3% over last 33 years and if kept till maturity will be valued around 64k

Is it still worth holding on to till maturity or should I cash it in early as bank savings rates now offer better? 

Is there tax due if I cashed in early?

dunstonh

I've calculated that return has averaged 3.3% over last 33 years and if kept till maturity will be valued around 64k

Does that include the final bonus accrued to date or just the annual bonuses?
Is yours a mortgage endowment or a savings endowment?  (they were structured differently and not comparable).
Are you basing on the current value or the surrender value?

eldy123

dunstonh said:

I've calculated that return has averaged 3.3% over last 33 years and if kept till maturity will be valued around 64k

Does that include the final bonus accrued to date or just the annual bonuses?
Is yours a mortgage endowment or a savings endowment?  (they were structured differently and not comparable).
Are you basing on the current value or the surrender value?

Its not related to Mortgage, so would say its a Saving Endowment

36k is Total Current Value and "what you'd get if you cashed in your plan" according to the statement. This is comprised of "Current Value" at 27k and Final Bonus of 9k.

So If £50 is carried on being paid monthly for next 12 years then assuming 3.3% growth would be around 64k. Statement says that at 4.5% mid investment growth the plan will be worth 64k at maturity.

"Bonus added to your plan" is 13k so far. Sum Assured is 25k, and "minimum amount we'll pay at maturity" is 38k