Aviva Endownment matures may 2017

bigal993

Hi Guyz
i have an Aviva endowment i think it was an old L&G one, it is covered by the mortgage promise, But it does say we may pay an final bonus have they been doing that this year or late last year, or is it just the bonus that are shown on the latest statements, that it will pay out ?
Thanks for any input
Al

dunstonh

But it does say we may pay an final bonus have they been doing that this year or late last year, or is it just the bonus that are shown on the latest statements, that it will pay out ?

Final bonuses accrue as the go along. They dont suddenly appear at the end. That info is available on some statements and most IFA systems that integrate with Aviva. You can phone them to ask as well.
If you check your current value/position and check the surrender value, you may well find that the surrender value is higher. That is because of the final bonus accrued to date.

bigal993

Hi dunstonh
Many thanks for your reply,
I was hoping for a suprise at the end, but if there added as they go along, maybe not.
Im patiently wating for May to come along, mortgage is all paid off as we overpaid, so anything is a bonus.
Thanks
Al

penwise

Please let us know what happens - I have a similar policy with a few years to go.

kingstreet

bigal993 wrote: »

Hi Guyz
i have an Aviva endowment i think it was an old L&G one, it is covered by the mortgage promise, But it does say we may pay an final bonus have they been doing that this year or late last year, or is it just the bonus that are shown on the latest statements, that it will pay out ?
Thanks for any input
Al

Not L&G which still exists.

Commercial Union
Norwich Union
General Accident
Provident Mutual?

Victor_Meldrew

We have a NU endowment for £56 pm. It matures in late March.
We have had a preliminary estimate and it is not far short of what it was supposed to pay out (£44k)!!!


THis is despite having been paid compensation earlier. ANd despite many letters advising it wouldn't meet expectations. And despite the previous estimate from 3 years ago being £24k!!


THe mortgage promise makes up £10k.


IF it does payout this much it will beat the original amount they set. I do not know how they have come to this amount but I will be absolutely over the moon if it pays out.

Imma_Number

Victor_Meldrew wrote: »

We have a NU endowment for £56 pm. It matures in late March.
We have had a preliminary estimate and it is not far short of what it was supposed to pay out (£44k)!!!


THis is despite having been paid compensation earlier. ANd despite many letters advising it wouldn't meet expectations. And despite the previous estimate from 3 years ago being £24k!!


THe mortgage promise makes up £10k.


IF it does payout this much it will beat the original amount they set. I do not know how they have come to this amount but I will be absolutely over the moon if it pays out.

The mortgage promise is the maximum that might be payable. It will not take payout above the target amount of the policy
http://www.aviva.co.uk/retirement/endowment/frequently-asked-questions.html
See the 7th question: "What is the mortgage endowment promise?" where they have a worked example.

Sorry
Imma

dunstonh

Victor_Meldrew wrote: »

We have a NU endowment for £56 pm. It matures in late March.
We have had a preliminary estimate and it is not far short of what it was supposed to pay out (£44k)!!!


THis is despite having been paid compensation earlier. ANd despite many letters advising it wouldn't meet expectations. And despite the previous estimate from 3 years ago being £24k!!


THe mortgage promise makes up £10k.


IF it does payout this much it will beat the original amount they set. I do not know how they have come to this amount but I will be absolutely over the moon if it pays out.

A lot of those that fell short and then got redress did so not long after the dot.com period crash. The markets then went on to recover strongly before crashing again in the credit crunch. And then growing strongly.

Endowments always did well when the years went through periods of volatility. It was the long periods with little or no negative periods followed by a big negative that caused the problem (ie. 90s).

All those premiums paid around 2001-2005 and then 2009 to 2016 have been the reasons for the turnaround.

Victor_Meldrew

The mortgage promise is the maximum that might be payable. It will not take payout above the target amount of the policy



I realised that. The promise makes up part of the estimate along with estimated maturity value - which brings the total estimate to be just UNDER the original estimate. But if you then add in the compo we received we have then BEATEN the amount it was originally taken out for.