missold policy

stelin

can anyone help? I have a endowment policy which was to protect my mortgage but I have been told that I have no claim for misselling the policy because the mortgage and the policy where sold through an insurance broker on behalf of nationwide . is this right?

dunstonh

stelin wrote: »

can anyone help? I have a endowment policy which was to protect my mortgage but I have been told that I have no claim for misselling the policy because the mortgage and the policy where sold through an insurance broker on behalf of nationwide . is this right?

There could be multiple reasons. The one you mention only applies to pre 1988 sales (or pre 1995 sales if Fimbra and didnt became PIA authorised). here are the main issues.

1 - You are very late to the endowment complaint party. Most endowments are now timebarred from complaint. A few still trickle through but the issue was considered over 10 years ago.
2 - financial services regulation started on 29th April 1988. If you bought before that, then its pre-regulation. Banks and building societies volunteered to accept pre-regulation complaints (bet they wish they hadnt). No-one else did.
3 - Many brokers and accountants were FIMBRA authorised until 1995 and didnt go on to authorisation with the PIA after that. So, if yours was one of those. then its pre-regulation (even if was after 1988). If they went on to become PIA authorised then they are under regulation.
4 - timebar. You need to complain within 6 years for the sale AND within 3 years of being reasonably aware of an issue. Both rules need to be satisfied to allow a timebar. 6 years is easy as they all are. 3 years is not difficult for most as that is 3 years after maturity or 3 years from the statements middle projection figure showing a shortfall.


Who told you the reason you couldnt complain?

stelin

Thanks for your reply. It was the broker told me I have no claim. The shop still exists but they are no longer agents of nationwide

dunstonh

stelin wrote: »

Thanks for your reply. It was the broker told me I have no claim. The shop still exists but they are no longer agents of nationwide

They were almost certainly never agents of Nationwide. Brokers can place mortgages with most lenders but that does not make them agents of the lender.

The broker is correct if it is pre-1988 sale.

AnotherJoe

Why do you think it was missold ?

Amst

AnotherJoe wrote: »

Why do you think it was missold ?

I'll give you one guess, but it probably starts with the expected payout amount :money::rotfl:

kingstreet

dunstonh wrote: »

They were almost certainly never agents of Nationwide

Local agency?

Back then, many brokers, solicitors and EAs were local agents for a building society and it's possible the consumer would view them as the agent of the lender, not the agent of the consumer in a mortgage transaction with that particular lender.