Should I surrender SL Endowment Assurance & Homeplan

Mr_helpful

AH For once I agree with you I was only joking about you buying them. I dont like endowments much either but taking over the best years of one when some one else has paid all the charges is much better for returns and pretty safe too. I seem to remember one or two unit trusts in this market making quite reasonable returns

madwalker

Just to say thank you to you all for your advice.

I have just had an offer on the house (hope to complete end of May) so I think the first thing based on the advice is that I won't do anything with the endowments at the moment.

I am now in much better position to take in account the possible returns so thank you to you all for helping me understand bonuses etc.

I still struggle a bit to calculate accurate compound interest ie:
can someone give me the calculations for these:

either

Originally Posted by dunstonh
The surrender value is £10094. The cost to keep going until maturity is £5700. Can you tell me of an investment that will turn £50.59 over 9 years (£5,700) into £16,000 (possibly more)?

or

Originally Posted by jamesd The future value of 10094 plus 50.59 at 7% over 9 years is 26544. At 8% it's 28705.

Thanks again

jamesd

The first number is roughly 50.59 * 12 * 9 = 5463.72.

The second number is from a future value calculator like this one. They often have small errors, depending on how they work out the interest rates, but not significant for the discussions here. This one, different from the one I used last time, gives 26,500 as the value of 10094 plus 51 a month for 9 years at 7%.