endowment mortgage

the_donchichio

Hi, I used to have an endowment mortgage around 20 years ago for a period of couple of years. I then needed more funds so I borrowed more money and subsequently the mortgage changed to a fixed rate. Obviously at the time I was unaware of the endowment claims so would I still bw entitled to anything as I do recall being told my endowment would cover my mortgage shortfall

Kind regards

dunstonh

Obviously at the time I was unaware of the endowment claims so would I still bw entitled to anything as I do recall being told my endowment would cover my mortgage shortfall

You have three years from being reasonably aware of the shortfall to make a complaint. The timebar for these typically used the annual statement that first showed a high risk of shortfall (i.e. mid projection rate running short). Most of those went out around 2002-2005 and it is three years from them.

So, nowadays, most endowments are time barred from complaint. However, a minority are not.

in your case, it appears you wont have complaint reason now as you say it was around 20 years ago and only had it for a few years. So, you never entered the period when endowments started running short and you changed to repayment basis and that date of change can be used for the three year time bar.

Even if you did complain and they allowed it and they agreed you had a valid complaint, they would only pay any difference between a repayment mortgage and interest only mortgage minus surrender value for those few years. On a typical 25 year mortgage you pay very little off in the early years. So, in your case, even if everything fell in to place and the timebar was not used it would not be much.

I do recall being told my endowment would cover my mortgage shortfall

What evidence could you supply to verify that?