Endowment Mis-selling - Don't give up!

dinglebert

Finally, after two years I have received my offer of compensation from my IFA. They had at first just ignored my complaint and so I had to go down the FSO route. It was a long haul but worth it in the end.

dbs

Trevw

You should always complain to whoever sold the endowment first then if not happy the FOS.

I thought endowments should not be sold to people were policies mature in retirement age if this is correct you should have a good chance of winning your complaint.

dbs

NuuK

Forget the 1988 FSA act if you can prove you was mis-sold a policy the FOS has to find in your favour.

The hardest bit is getting all the evidence you can to prove your point but this you must do.

It took me a lot of time and effort and research into old documents and yearly statements plus info from my lender and policy provider to get my evidence.

trevw_2

dbs wrote:

Trevw

You should always complain to whoever sold the endowment first then if not happy the FOS.

I thought endowments should not be sold to people were policies mature in retirement age if this is correct you should have a good chance of winning your complaint.

Thanks dbs

I'll get started and see what happens!

dbs

After reading other websites unfortunately the FSO has started to back lenders who argued that their client should have known the endowment would go into their retirement with all financial implications it would mean.

Nationwide BS may have their own guidelines on this point.

If you can prove that your mother did not know what her financial position would be in retirement when she took out her policy or did not realise the policy matured when she was 73 at the point of sale you should have a strong case.

If the Nationwide can prove this topic was discussed but your mother ignored it they will have a strong case.

Hopefully your complaint will not just rely on this one point after you have completed their questionaire

Good Luck

dunstonh

dbs wrote:

After reading other websites unfortunately the FSO has started to back lenders who argued that their client should have known the endowment would go into their retirement with all financial implications it would mean.

Nationwide BS may have their own guidelines on this point.

If you can prove that your mother did not know what her financial position would be in retirement when she took out her policy or did not realise the policy matured when she was 73 at the point of sale you should have a strong case.

If the Nationwide can prove this topic was discussed but your mother ignored it they will have a strong case.

Hopefully your complaint will not just rely on this one point after you have completed their questionaire

Good Luck

I think the problem with endowment compensation and retirement age is the even if the person had gone down the repayment mortgage route, they would have still ended up going into retirement.

I do have some sympathy with the providers on this point. The age issue should be look at differently to the risk issue.

dbs

A repayment mortgage could be taken over a shorter time span with increased payments, could this be done with an endowment?

langsmith

PaulGeary wrote:

I took out a low cost endowment with Standard Life in 1991 and face possibly a 7K shortfall according to the last statement, do I take it that I may still be OK if St Life give you a Final Bonus?(matures 2011)

Also does it look like we will get a windfall? if so when could it be, and any ideas of amounts?
TIA

Like you, I have a Low Cost Endowment with Standard Life also taken out in 1991. In covers a mortgage of £52,000, but shows projections at the moment of being apprx. £24,000 shortfall !! This is even after paying all premiums etc. on time.

Currently I am in the process of trying to sort it all out. They have made a "compensation" offer at the moment of £4,319, taking this to a grand total of £17,500 !! Ok there is a minimum it will pay out but it is nowhere near the intial projections shown by the HF when the policy was taken out. I would & should be rich by the end of it all or so they said.

Its reasuring to see however, that i'm not alone in this mess

dunstonh

dbs wrote:

A repayment mortgage could be taken over a shorter time span with increased payments, could this be done with an endowment?

Correct, but would the increased payments been affordable? If the repayment mortgage with lower payments but into retirement had been offered, I bet you most would have gone with that.

dbs

dunstonh wrote:

Correct, but would the increased payments been affordable? If the repayment mortgage with lower payments but into retirement had been offered, I bet you most would have gone with that.

Who knows if it was affordable if it was not offered in the first place.
Surely this option and the fact the endowment mortgage was going into retirement age should have been mentioned at the point of sale.

When I took out my endowment it cost more than the repayment but took this option because the advisor said it was the best option.