Standard Life - How much will my policy be worth tomorrow?

Gorgeous_George

EdInvestor wrote: »

You got off very lightly with only a 14% cut, are you sure the TB hadn't been slashed earlier (perhaps in around Sept, 2002?)

No idea. I only started monitoring the policy in January 2003. I'll get the file later and see if there are any clues in the annual statements.

GG

Gorgeous_George

Well, I'm still holding the policy - but only by the tips of my fingers. Really do intend to get rid in July.

Will it be worth £26,400+ tomorrow?

GG

Dick_here

Gorgeous_George wrote: »

Will it be worth £26,400+ tomorrow?

I for one - and I'm sure many others here - won't be able to sleep tonight due to the nervous excitement caused by this, GG

Gorgeous_George

The scores on the doors for July

Basic...£21,626.78
Bonus....£4,779.52
Total....£26,406.30

GG

dunstonh

I think thats acceptable considering how the markets moved in the last few weeks.

You've had a good few years on it and it may now be time. Especially before the interim announcement in August. Given the last 6 months, you cant really see SL doing anything positive.

Gorgeous_George

I'm quite surprised but after a 5 minute phone call to SL (using the geographic number rather than 0845 - once an MSEer, always an MSEer), I am told that the funds will be transferred to my account within 10 days.

After paying in for over 23 years I feel sad that my relationship with SL is coming to an end. If the return is £26,406 it will equate to just 5.7% net over the term equivalent to about 7.6% gross for me as a basic rate taxpayer. And of course, there was the life insurance - and the shares (which I still hold :eek:).

I hope some of you found this thread useful and I wish you luck with your own decisions. We just need to cash in Mrs GG's SL policy and my Friends Provident one and then I can relax as the financial markets self-destruct.

My next problem is where to invest the cash. With a mortgage rate of just 5.74% (life time offset tracker) I'm in no rush to clear that. A second BTL? Maybe not just now

GG

EdInvestor

Gorgeous_George wrote: »

My next problem is where to invest the cash. With a mortgage rate of just 5.74% (life time offset tracker) I'm in no rush to clear that.
GG

Bearing in mind the tax-free nature of the offsetting return , looks like a sensible place to stash it for now while you consider feeding it into your ISAs over the longer term.

Gorgeous_George

I'm pleased to say that SL were good to their word and the funds were deposited into my account today.

Anyone still holding SL endowment policies can look forward to huge bonuses in coming years - such is my luck with investments.



GG

Gorgeous_George

Sorry to resurrect this old thread but regular readers may be interested.

Well, it's two years since I bailed out of my SL endowment policy. I accept that I'll probably never know if I did the right thing but this report issued today (link) suggests it wasn't a poor decision.

The group said someone who took out a 25-year endowment policy into which they paid £50 a month could expect a final payout of £29,290 if their policy matures this year.

My policy cost £45 per month so I assume my policy would have matured with a value of ~£27,400 (10% less tghan the £50 example in the quote above). That is just £1,000 more than my 2008 surrender value. I had 18 months to go so that would have cost me £810 making the value of keeping the policy just £190. I think I can safely say that I earned more than £190 on the funds (it was in a West Bromwich bond at 4.3% for over a year).

I guess pensions will be the next big (personal finance) scandal.

GG