endowment policy with capital repayment mortgage

lorhen1966

I want to alert the general public to a problem that cannot be allowed to be simply dismissed due to timescales and one which many will not know about. I have recently tried unsuccessfully to claim for the mis-selling of an endowment policy in connection with a capital repayment mortgage. In 1990 at the age of 23, knowing nothing about mortgages I made an application to my employers, HSBC and as an employee, the only option available was a capital repayment mortgage, however, unbeknown to me I also acquired an endowment policy at the same time. I had no idea that this was completely against regulation and not required until 1994 when it was pointed out by a colleague and I was advised to surrender my policy. Even at that time I still wasn't fully aware of the full extend of the mis-sale so it never crossed my mind about making a complaint. It was only when I changed departments within the bank and joined financial services as a mortgage advisor that it dawned on me that it had been completely wrong. However, I had just started a job working for the department that I was proposing to complain about and the Head of Department wasn't someone that took kindly to anyone taking up grievances. There was no doubt in my mind that if I made a complaint that there would be repercussions. I therefore felt I had no option but to put it to the back of my mind, reluctantly and I never once thought about it again until November 2016 when I was recalling all of my historic financial arrangements for a PPI check. To make matters worse when I wrote to find out details of the policy that had been surrendered, I discovered that there was a second policy which turns out to be a joint policy taken out with a previous partner on yet another capital repayment mortgage which was in place for 20 months from January 1989. It would appear that we must have been advised to surrender this one too and replace it with new ones. If this can happen to someone who worked in a bank, how many customers did it also happen to and its been brushed under the carpet.

dunstonh

I had no idea that this was completely against regulation and not required until 1994 when it was pointed out by a colleague and I was advised to surrender my policy.

There were no regulations preventing that. It wasnt necessary and one could probably argue it wasnt needed pretty easily but there were no rules preventing it and you could have one if you wanted it.

Most banks no longer retail regulated investment products under advice. So, a repeat is unlikely. However, it does show the importance of making a complaint in good time.

Timebars exist in law across all walks of life.