Endowment Mis-selling - Don't give up!

Geruish

OK thanks for that. I'll definitely try the Which website. I'm just not very market-aware when it comes to funds.

My own personal view is that many companies are frightening people into increasing contributions. We still have a number of years to go on these policies and, in the longer term, they will achieve a closer figure to that promised. Is that a fair viewpoint?

dunstonh

My own personal view is that many companies are frightening people into increasing contributions. We still have a number of years to go on these policies and, in the longer term, they will achieve a closer figure to that promised. Is that a fair viewpoint?

I dont think they are doing it to frighten people. Its a reality of the current situation which is lower mortgage rates, less favourable taxation, stable economy (endowments were more suited to boom/bust).

In addition, the FSA increased the solvency requirements for insurance companies so they have taken a more cautious approach on investing the money so with profits returns have dropped. This was done by selling equities at a low point which most know is when you buy, not sell. A mess all round really.

However, with unit linked funds and a decent spread, there is a better potential for those shortfall gaps to be closed. You certainly wouldnt increase your payment into them though (although that has happened in the past)

Nuuk

Two years ago, I started to do something about my predicted endowment shortfall. (Policy taken out in 1984)

I wrote to Norwich Union first who told me that Abbey National (who provide my mortgage), also sold me the endowment policy.

I wrote to Abbey National who came back and told me that they didn't.

I went back to NU and was told it was nothing to do with them and if I didn't agree, I could go to the FSA.

To cut a long story short, the woman dealing with my case at the FSA was on a personal mission to stop me getting any sort of help. I can't say too much here but she got fed up writing to me when she realised that I wasn't giving up and phoned me. Unfortunately for her, I recorded the call and had her over a barrel on one aspect of my case.

After that, she was even more hostile and ended up telling me that either the case must go before the Ombudsman or they would just throw it out. As I had pretty well completed my investigations, which included finding the name of the NU rep who sold me the policy, I agreed and am still waitng for a judgement.

However, I was told that NU have a record of this rep being on their payroll but they don't know what his job spec was (due to 'lost records'), so my evidence doesn't count! They are therefore claimming that is was the estate agents who sold me the policy, not them! (The estate agents hav eof course long-since stopped trading)

Anyway, I now have to await the ruling of the FSA before I can go further if necessary!

There is no doubt that even the FSA are trying to disuade people from making a claim and if I had my way, there would be an independent inquiry into their supposed neutrality in this matter.

Leothecat

Definitely do not give up. I filled out the forms on behalf of my parents last year in May. It was a long process with many letters and telephone conversations but they have this morning received confirmation that they shall be receiving a cheque which (almost) covers their shortfall.

Supernova

Having taken out an FP endowment through an IFA in March 1988 I have no option but to give up despite a projected £20K+ shortfall on a £56K mortgage.

They haven't done the decent thing and gone bust so I wrote and they said that I would have been sent a standard Friends Provident leaflet at the time outlining the risk. I have no idea but if that leaflet existed in 1988 then surely all Friends Provident claims are invalid?

M

princess

Hi,
Abbey National having initially said I wasnt entitled to compensation have now been told by the Ombudsman that I am entitled and must be compensated. A letter outlining this was sent to them in November. I was hoping I would have heard/recieved something from them by now, but nothing so far - not even an acknowledgement. Does anyone know how long it takes the companies to cough up after they have been directed to by the FSA? Thanks

andy-pandy_6

ombudsman agreed I was due compensation early January cheque came yesterday.

princess

Congratulations Andy - mine arrived today too:)

bill_3-2

We have just discovered the above,I have the leaflets from the FSA and I have been sent a Questionaire by the building society which looks like its a copy of the Ombudsmans form. What advice would you give me.
many thanks
bill

Froggitt

To win a claim, you will need to show you were missold......eg you were told it would pay off your mortgage, you would be retired by the time it matured, you had low attitude to the risk of the stockmarket.....not just that you have a shortfall.