Building Society good will ?

edited 31 January 2015 at 11:29PM in Mortgages & Endowments
13 replies 1.3K views
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  • ArmoricaArmorica Forumite
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    stator wrote: »
    Unless they already knew the mortgage was miss-sold and wanted to just cut their losses.

    That's not impossible...
  • GoldiegirlGoldiegirl Forumite
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    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.
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  • kingstreetkingstreet Forumite
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    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.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
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