Building Society good will ?

Armorica

stator wrote: »

Unless they already knew the mortgage was miss-sold and wanted to just cut their losses.

That's not impossible...

Goldiegirl

I think you are reading too much into a simple clerical error.

After 25 years, they won't have have the records of the sale of the policy on their records- even if it was them who sold it. So much time has elapsed, they wouldn't just randomly decide the mortgage was mis-sold with no evidence and write off the whole balance of the mortgage.

kingstreet

The endowment may have been mis-sold, but we don't know if the mortgage lender sold it. If it didn't, it has no liability as it wasn't the mortgage which was mis-sold but the investment product.

If there was a payment for this, it would be paid to the policyholder to return them to the position they would have been in had they chosen a repayment mortgage, net of the surrender value of the investment.

No lender has ever written off a £40k mortgage for an endowment mis-sale.

As GG said, this wouldn't just happen out of the blue.