Two claims for same policies?

Loop48

Dear team,

I claimed £5000 from two seriously poor endowment policies sold to me when I took a mortgage 25 years ago.

That sounds great but the gap is still terrible.

I purchased a house 25 years ago ( Barclays) and they insisted the mortgage was an endowment mortgage. The investment was £45k and I had two policies to cover this.

The first has just matured, it should have been I minimum of £30k its matured at 20k. The next one comes out next year and it should be £15k and I am looking at £9k.

So the PPI is seriously short of the minimum investment amount. At the time of sale I was assured the minimum amount would be £45k. I am looking at £29k with the £5k and I and still £11k short...do I just have to take that?

Thank you
C

dunstonh

So the PPI is seriously short of the minimum investment amount.

It is not PPI. It is an endowment policy.

At the time of sale I was assured the minimum amount would be £45k. I am looking at £29k with the £5k and I and still £11k short...do I just have to take that?

You complained previously and succeeded with your complaint. They calculated your redress on the basis of you using the surrender value of the endowment deducted from the interest only element of your mortgage vs what it would have been at had you been on a repayment mortgage. In your case, there was a £5k difference and that was the redress paid.

At that point, you had a choice to make. Surrender the endowments and use the the surrender value and redress payment to reduce the mortgage and switch to repayment basis or carry on with the endowments. You chose the latter.

As no-one advised you to continue with the endowments and it was a choice you made yourself, you have no-one to complain to.

magpiecottage

DunstonH is correct.

The purpose of the redress was to put you into the position that you would have been in had you taken out a repayment mortgage at outset.

You then had a decision to make. Either you could take the money and reduce your loan, cash in the endowment policies and reduce the loan and convert it to a repayment mortgage over the rest of the term.

OR you could continue on an interest only basis with the endowment policies and make up any shortfall at maturity.

You chose to do the latter, rather than take the opportunity to correct the previous recommendations.

So your complaint is against the person responsible for the decision you made in the light of the outcome of your original complaints, not against the original adviser.