Disappointing Bond Performance

Jim_Lewis

Hi all,

this is my first serious post, so firstly a big hello to fellow money savers, and a huge thank you to Martin for all the help I have had from this site so far.

I found out about QuidCo form this site and also the Pru health offers, amongst others.

Anyway, on to my post, which I would like help with from any consumer experts out there.

About 11 years ago I signed up to a 10 year bond with Royal and Sun alliance, which matured about a year ago. After paying in £25 per month for ten years, (£3000 in total), it paid out £3009!!! I was less than impressed as you might imagine.

In that time the bond was taken over by different companies through takeovers etc. and I suspect that a good deal of my growth was siphoned off in the usual underhand ways that these financial institutions seem to operate.

At almost the same time, (about 6 months later), I took out a very similar product with Family Assurance. I had lost track of this bond until recently due to house moves etc. but noticed that the last payment was taken for this bond in January of this year.

I have just contacted them to find out how much the maturity value is, £3670!!!

Basically I reckon that Royal and Sun Alliance have stiffed me out of over £650

I realised that the terms were slightly different time periods, but I do not accept that the final value could vary by so much on what should essentially be a low-risk financial vehicle.

Does anyone know how I should pursue these monies?

Is it too late now, (the R and S paid out in October last year).

I appreciate any help offered.

Jim_Lewis

Right, well this is going to turn into a conversation with myself but anyway.

Having now contacted Phoenix Resolutions, (The company that took over the R and S policies), I have been informed that the policy with them is an endowment, and consequenty the pay out cannot be compared to the with profits bond I had with the Family Assurance company.

I'm almost 100% certain that it was not an endowment policy as I can't think of any reason I would have taken out an endowment as I did not own a property at the time.

I was also informed that as I was paying a regular amount, (£25 per month), rather than depositing a lump sum it was obviously not a Bond as bonds don't do this.

I pointed out that this was obviously not the case as my bond with Family Assurance did just that.

I strongly suspect that this is a big ruse to connive people out of their cash, by reclassifying the scheme that they hold.

With a less cynical head on, I might just believe that an administrative error could have occurred when the scheme was passed from R and S to Phoenix.

Anyway, they are 'looking into it', so we'll see.

Meanwhile I'd better try and dig out the original paperwork to see whether I have a leg to stand on...

C_Ronaldo

do you not have any documentation stating it was a bond you took out

missile

You cannot expect to get the same return from a.n.other companies. Put it down to experience and move on. Think yourself fortunate that at least you got your money back. Many have not been as lucky :rolleyes: