Endowment misselling...we have been so stupid....

porkypig1

Hi
12 months ago my wife and I followed the advice on here and from despair we began a DMP and for the first time in years we have had control of our finances and spending.
7 years ago, following my brothers advice, we sent in a complaint to the company responsible (they took over the original company) for selling us our endowments as there was a shortfall forecast. We received a letter asking for more info which we sent back, then nothing! 18 months later we sent a letter asking what was happening and still no reply. We have since put it off and off until realising that there was a cut off date and we have gone past it. We have endowments finishing on:
November 1st 2012 for £6000 with a shortfall of £1500.
May 18th 2013 for £5000 with shortfall £1200.
November 1st 2013 for £27500 with shortfall £12000.
We can afford to pay the small shortfalls but the 12k would not be achieveable.
We have further morgages but these are repayments.
As I have said we are on a DMP so would not be able to borrow again, it is keeping me up at night, as we have a disabled son and are in real danger of losing our home, can anyone offer advice on wether we can pursue the original complaint or have we missed the boat??
I realise I should never have got in this position but I am.
Thankyou for any help

dunstonh

, can anyone offer advice on wether we can pursue the original complaint or have we missed the boat??

3/4 of all endowments are timebarred from complaint. So, the odds are against you unless you can find out why you never got a response to the original complaint and if the firm is at fault then the timebar would not apply.

As for worrying, do not. Most lenders are set up for shortfalls. They will typically take the amount of the shortfall and extend it for up to 5 years on capital and repayment basis. Normally if you have no arrears then lender will not bat an eyelid and just agree it. In your case, you may have to sit down with an account manager and get them to approve it.

porkypig1

Thanks for that, my problem is that my mortgage is with my former bank from who I changed when I set up the DMP (which is the general advice), but we have never had arrears on mortgage. I havent closed the current account yet, although my wages dont get paid into it, so I am not expecting them to be lenient.

dunstonh

I dont see that as a problem and indeed may make it a lot easier. Have a word with them about it. Set the plan in motion so you can stop worrying about it.

Thrugelmir

porkypig1 wrote: »

Thanks for that, my problem is that my mortgage is with my former bank from who I changed when I set up the DMP (which is the general advice), but we have never had arrears on mortgage. I havent closed the current account yet, although my wages dont get paid into it, so I am not expecting them to be lenient.

The banks primary concern will be full repayment of the debt. So don't be concerned about their attitude.