help! - endownment not activated by mortgage provider 16 years ago

Crazy_Saver

dunstonh wrote: »

I meant 1991. 2001 was actually a good time to start regular investments

Hi dunsonh.

Why was 1991 such a bad year for endowments?

I ask, because that is when we took our endowment out and that is performing incredibly badly!

dunstonh

Crazy_Saver wrote: »

Hi dunsonh.

Why was 1991 such a bad year for endowments?

I ask, because that is when we took our endowment out and that is performing incredibly badly!

its was just timing. It has had a lot of bad years in there with the good. Although the last 4 years have improved that situation a lot those that started say in 88 have had a better time of things. 1991-2001 saw very little profit. Indeed, the period from 2002-2005 saw more gains in 3 years than the 10 years previous.

A unit linked plan actually could end up doing quite well out of all that as crashes/corrections in the early years are a good thing (even if it puts your endowment off track) but a with profits plan would suffer more.

Crazy_Saver

dunstonh wrote: »

A unit linked plan actually could end up doing quite well out of all that as crashes/corrections in the early years are a good thing (even if it puts your endowment off track) but a with profits plan would suffer more.

Just my luck!

We were advised to "churn" two unit linked policies that started in '87 and were talked into taking out a with profits policy in '91.:mad:

eadie_2

Almost two years on, Halifax have now admitted liability. They have offered to 'put right' the situation by putting us in a position where they feel we would have been should the policy have been put on risk. Essentially they are now suggesting that they convert the mortgage to repayment and that my father pay off via monthly payments the remaining £7,500 over 8 years. Although this does not sound like a great deal to pay, my father is currently unemployed so its not such an easy task as it suggests.

They have also disregarded the lump sum that my father was promised at the start as they claim they are not able to predict how the policy would have faired. So this leaves my father without his lump sum 'savings'.

Furthermore, they are only offering a weak sum of £100 for compensation. My father had blood pressure problems when he realised the impact of potentially not paying off a single penny off his mortgage after 16 years. Naturally, being the stubborn man he is, he refused to go to the doctors after his initial appointment. My mother also experienced health issues.

Are you able to offer any advice on how we can/should proceed please? The chap at FOS who recently took over the case has not been the most helpful. He is suggesting that the offer is amazing and we should accept straight away. He also would like us to write back to him to confirm closure of the case. He only works a day a week and we, after a number of conversations, feel he does not have the appetite for the job and just wants the case closed. The previous lady was fantastic.

I would be most grateful for any further advice.

Many thanks.
Eadie

opinions4u

Gorgeous_George wrote: »

I'm surprised that the salesman didn't realise that he wasn't getting his commission.

Double post to ignore

opinions4u

Gorgeous_George wrote: »

I'm surprised that the salesman didn't realise that he wasn't getting his commission.

If it was sold in branch in the early 90s, the salesman would not have been paid commission. Halifax would have retained it all.

EDIT: GG - didn't notice I was replying to a post that was 2 years old!!

opinions4u

eadie wrote: »

Almost two years on, Halifax have now admitted liability. They have offered to 'put right' the situation by putting us in a position where they feel we would have been should the policy have been put on risk.

So that puts the basics back to where they should be then.

Essentially they are now suggesting that they convert the mortgage to repayment and that my father pay off via monthly payments the remaining £7,500 over 8 years. Although this does not sound like a great deal to pay, my father is currently unemployed so its not such an easy task as it suggests.

£100 a month or thereabouts? Bit less perhaps.

They have also disregarded the lump sum that my father was promised at the start as they claim they are not able to predict how the policy would have faired. So this leaves my father without his lump sum 'savings'.

The policy would almost certainly have had a shortfall of several thousand pounds now. The administrative !!!! up nearly 20 years ago is possibly the most financially beneficial thing that could have happened.

Furthermore, they are only offering a weak sum of £100 for compensation. My father had blood pressure problems when he realised the impact of potentially not paying off a single penny off his mortgage after 16 years.

I think you're doing well.

Are you able to offer any advice on how we can/should proceed please? The chap at FOS who recently took over the case has not been the most helpful. He is suggesting that the offer is amazing and we should accept straight away.

Follow the unhelpful man's advice.