Endowment Mis-selling - Don't give up!

couttleberry

We took out our Endowment Mortgage in 1989. It was the seller of the mortgage (The Halifax) who advised us that the best type of mortgage for us was an endowment. As I worked for GA Life at the time, he said that our best bet was to take out the Endowment with GA Life. Because it was the mortgage seller and not the endowment seller that gave us the advice, will we be able to claim, and if so, who from?

dunstonh

As I worked for GA Life at the time, he said that our best bet was to take out the Endowment with GA Life. Because it was the mortgage seller and not the endowment seller that gave us the advice, will we be able to claim, and if so, who from?

Staff members have less protection usually. This is because most staff applications are not processed on advice basis but on execution only giving better terms. If you saw an adviser from GA Life who made a formal recommendation to take out that policy, then you can complain to them. If you just completed a GA application form and got in processed, then you cannot.

smp_3

Steve38 wrote:

Firstly, excellent site.

Secondly, as a relative new comer to this site, please could someone please advise: My endowment policy started in June 88, can i still complain about a mis-sold policy? according to the FSCS website, the cut of date is Aug 88?

I guess i am 2 months the worse?


Steve.y

Our endowment started 1st June 1988 with Leeds BS (Now Halifax) and after following MSE instructions we have just received 3,000 fully covering our shortfall - very happy indeed, thanks MSE saved us money yet again

smp_3

We have just received a cheque for 3,000 pounds covering a shortfall of our endowment mortgage. We changed over from a repayment mortgage after being approached by our Building Society in June 1988 - luckily I still had the original paperwork and quotes. I sent the letter, they came back with a few questions and even telephoned us - but accepted our complaint and paid up promptly. :beer: :beer: :T

vinno65

Mr_Warren wrote:

Reasons are that :

- “…as they are no documentary evidence to show the advisor gave me a guarantee that my policy would repay my mortgage in full and produce a surplus….”
- “……We refer to your comment I don’t believe the adviser explained there was a risk…….I don’t believe that my views on risks were given consideration”…..I am sorry but I cannot upheld your complaint solely on the basis of your recollections of what was said at the time……”
- “I should explain that the general legal position is that when a person signs a document or agrees to proceed on the basis of the document they have received, he or she is bound by their signature, whether or not the individual has read and understood the document”

Hi Mr Warren, refer this legal expert to the FOS, the general legal position may well be that you are bound by your signature, but this does not apply if you have been duped or the contract miss-represented or the sale was not compliant!!
It is up to them to prove that the sale was compliant not for you to prove it wasn't hence why you other complaint was upheld>
No reply to this post Dunston? Hmmm!
rgards Vinno

dunstonh

No reply to this post Dunston? Hmmm!

Didn't see anything I could reply with that would add value. He thinks the endowment was mis-sold. The adviser doesn't. If there is still disagreement, then it can be referred to FOS. We know nothing about the paperwork held, so no-one here is in a position to comment.

It doesn't surprise me that Allied Dunbar paid out. They were notorious for mis-selling and poor documentation.

defender_of_the_weak

Mr Warren, this is just a standard set of cut and paste nonsense from the IFA containing half baked legal sounding phrases, take it to the Ombudsman. At leats you stand some chance on a further review

Doberryfirkin

If you go a no win no fee company for the CM&G policy never pay anything up front, dont pay more than 15% in total including VAT as fee (Which guidelines) make sure all the redress is paid to you, and you pay the company, this stops them earning interest on your policy proceeds or redress if and when it is paid. You casn look up some comparators on the Guardian website, there is also one on which, but this is out of date and last time I looked phenomenally hard to access

couttleberry

Thanks Dunstonh. GA Life sent out one of their local endowment people to see us and talked through the process with us, so I think that may count as advice. I take it we have no redress against the Halifax guy who sold the actual mortgage, as it was he who insisted that endowment mortgages were best and always paid up.

dunstonh

couttleberry wrote:

Thanks Dunstonh. GA Life sent out one of their local endowment people to see us and talked through the process with us, so I think that may count as advice. I take it we have no redress against the Halifax guy who sold the actual mortgage, as it was he who insisted that endowment mortgages were best and always paid up.

The Halifax adviser didnt transact the policy through his agency so the policy sale isnt attributed to him. There would probably not even be a record of your meeting with him because no transaction took place. You may see two or three people during a process of getting advice but it is the one you do the business with that is liable. That said, had you paid for the advice and been issued with a recommendation letter and then transacted it off your own back, he would have a liability then. I very much doubt that occured though!

GA Life are responsible for the transaction. You may hit one snag. GA Life, if they have done the paperwork correctly, should have documented that the interest only mortgage was already in place and that their advice was provide the most appropriate product for an already existing interest only mortgage and that you came to them asking for an endowment mortgage. Whilst it doesnt remove their responsibility to ensure that the right product was sold, it does make your case a little harder to prove. However, it would depend on the quality of the documentation. If that isnt recorded, then it wouldnt be held against you and you arent going to mention in your complaint that you asked for an endowment.

linden_2

I followed the advice and wrote in May to the 3 endowment companies that I had bought from. I'm now confused since all 3 have replied that they have nothing to do with my complaint and that I need to contact the organisations that sold me the endowment policies.
Is this correct?
And do I just send the same letter to these companies or do I send the letter to the Ombudsman, since the policies were sold in the 1980's.