Endowment Mis-selling - Don't give up!

dreamylittledream

BACKFRMTHEEDGE wrote:

Sorry you have "no" options not 3 options Nobody can get you compensation on a pre-1988 policy. Sorry.

Thats not true - most of the big companieds are in Voluntary Juridsiction with the FOS which means they are forced ot treat complaints the same a spost 88.

Small estate agents however are another matter.

To the OP - one of the 'sharks' will have no further luck then you will how. The main (only) value thrid parties have is managing the complaint for you and chekcing the redress is correct...they can not get you redress you can not achieve yourself (although they may be able to assist in which areas you can complain aboout...)

dunstonh

Hi - I am hoping somebody can give me advice on what to do with my endowment and whether I was actually missold it! We took out the endowment in 1987 with Standard Life and didn't actually use a broker but went to SL direct who gladly sold us the policy. We weren't given any advice and in fact at that time, the commission that would have gone to the broker went into our fund.

So you want to claim compensation from yourself?

How come we have only been told of this shortfall now when it has been going on for years?

It hasn't. SL shortfalls (at least red ones) are relatively recent. Only 2 years ago most SL endowments were still on track or only just off target. SL do send out projections at various points.

I know there is only a certain period of time before you no longer can claim any compensation - if so, does anybody know when this is?
Can we try and get compensation for miselling when in fact we went to the Company direct and didn't actually receive ANY advice?

Compensation is for bad advice. You sought no advice, so you have no ability to complain. SL have no liability for the choices you made.

Execution only business does mean you can get things cheaper but you have no one to blame apart from yourself when you get it wrong. Sorry.

Garry_Anderson

dunstonh wrote:

Compensation is for bad advice. You sought no advice, so you have no ability to complain. SL have no liability for the choices you made.

Apart from the fact that they were sold a product that was not fit for purpose - indeed it was proven so.

This fact was confirmed by Walter Merricks (Financial Services Ombudsman) in his speech for the Institute of Actuaries AGM at Staple Inn on 2nd July 2001.

He said, "In ordinary customer protection language these products have been discovered to be unfit for purpose."

Of course - these financial experts would have KNOWN this fact.

It was not a product to repay this most massive of loans - it was merely a gamble in the HOPE of repaying the loan.

Mr Merricks also said, "These products were designed for a purpose, and the purpose, I might cynically say, was not so much as to pay off mortgages as to be sold in large numbers to generate profits for insurance companies and intermediaries. And would I be cynical in suggesting that for some designers the key element was that the product should be priced so that the cost, combined with the interest only payments, would at the point of sale be a little below the cost of a repayment mortgage?"

See the speech yourself:

http://www.financial-ombudsman.org.uk/news/speech/merricks.pdf

I have known this for many years and have found the FSA and SFO to be more than evasive in my communications with them.

My complaint website is at http://www.WoolwichSucks.co.uk and home site is http://skilful.com - please visit.

TurnaroundSue

In my previous posting I said we took the policy out in 1987, whereas in fact it was 1988.

The reason for my posting was to see whether we could in fact claim anything from SL, as no advice was given by them at the time of them selling to us. I was only 21 and very niave about these things, I believed what I was told at the time and didn't think to question it - I was lead to believe that the amount over and above my mortgage amount was a bonus and in fact the minimum we would receive at the time of maturity would be the amount of the mortgage - in our case £26,600.

Thanks Garry I have put your links into my favourites and will look at this when the kids are in bed and I have time to digest what you say - from the quick glance I have had I think it will be very useful and informative. Thank you

dunstonh

Whilst Garry has a lot of valid points, it is not likely to help you your attempt to get compensation. You did the transaction off your own back without advice and on terms that reflected that. In doing so, you cannot complain about advice when there was no advice given.

I was only 21 and very niave about these things, I believed what I was told at the time and didn't think to question it - I was lead to believe that the amount over and above my mortgage amount was a bonus and in fact the minimum we would receive at the time of maturity would be the amount of the mortgage - in our case £26,600.

Still doesnt change the fact that you did it without advice.

VickySw

I just wanted to drop a note of thanks to all those that have posted advice on the boards regarding endowment misselling. Having read everything I put in a complaint using the Which letter generator and then filled out a Standard Life form. Compensation offer arrived this morning for £2600.
Thankyou all :T

waterboy

Hi fellow money savers!

This is my first post so I hope somebody can offer me a bit of advice.

We took out our policy in 1988 with Royal and Sun and the first payment came out on June 1988. We purchased it from an IFA. When we complained to company,IFA (waste of time) and eventually Ombudsman we were told that because the advice had been given on 31 March 1988 we were outside the legislation which came in ,conveniently on 1 April 1988!! Can I go anywhere with this after being refused by Ombudsman?

Guar.Death Benefit £27,000
Monthly Prem £44.60
Surrender Value £11,000

Can anybody help me please???

dunstonh

29th April 1988 actually, not the 1st. You are out of options.

Solman4

Having finally got my finger out (thanks to MSE) and submitted a claim, the response has been positive and the Halifax are now asking me if I would like them to make assumptions based on their normal variable rate mortgage or perform a more accurate calculation based on information I need to provide to them. Does anyone have any experience or understanding as to which option is best.

My mortgage is part repayment and part still reliant on the endowment, although I now overpay monthly to cover the potential shortfall. My rates have been below the variable rate for most of the 20 years either on a fixed rate or more recently on a tracker rate. Any advice would be welcome.

Thanks

MrNick

(apologies, I think my earlier post was in the wrong place )
I know I’ve left things a little late but I understand I may have a few weeks left to sort out Endowment action.

I have 2 endowments, one from Norwich Union purchased in the late 80’s, another from Standard life, purchased in the early 90’s.

I’ve have a letter from a financial services company that sold me the Norwich Union endowment in the late 1980’s. They have asked if I want to take corrective action or would like to consider such action – if so, to contact them to arrange a meeting.

Any advice on whether to call them & arrange a meeting, if so what any suggestions on the best line to take with this?

Also as I’ve left things so late, would it be better now to contact one of these companies advertising to do the work for you?

Any advice much appreciated.