Mortgage endowment

edited 30 November -1 at 1:00AM in Reclaiming Mortgage Fees, Council Tax, etc
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DurranDurran Forumite
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Would an endowment policy that was insisted on by the building society to cover the mortgage and to pay off the loan plus generate a lump sum when the mortgage ends qualify as mis selling as the policy did not produce the said lump sum at maturity.Also as I was not offered the opportunity to take a repayment mortgage would this be grounds for claiming the above as mis selling ppi ?

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  • AnotherJoeAnotherJoe Forumite
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    No it wouldn't (on both counts)
  • dunstonhdunstonh Forumite
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    Would an endowment policy that was insisted on by the building society to cover the mortgage and to pay off the loan plus generate a lump sum when the mortgage ends qualify as mis selling as the policy did not produce the said lump sum at maturity.

    The lender was right to insist an endowment for an interest only mortgage. That requirement ended during the credit boom years but has actually returned following the credit crunch (a repayment vehicle plan).

    Lenders are allowed to insist on insurance as a condition of borrowing.
    also as I was not offered the opportunity to take a repayment mortgage would this be grounds for claiming the above as mis selling ppi ?

    a mortgage is not PPI. An endowment is not PPI. So, no, it cannot be grounds for making a PPI complaint.
  • [Deleted User][Deleted User] Forumite
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    Durran wrote: »
    as I was not offered the opportunity to take a repayment mortgage would this be grounds for claiming the above as mis selling ppi ?
    PPI is a type of insurance (which you didn't have).

    It's not an all encompassing name for a complaint!

    So, as above, it cannot be grounds for making a PPI complaint.
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