Compensation agreed but fair or not?

DDD_4

My low cost mortgage endowment policy was designed to repay £7000 (Basic Sum Assured £2758 + bonuses – starting 1986, due to terminate 2008). It was performing very poorly and I sold it for £3497 in 2003. The seller has upheld my complaint but does not accept that there was any guarantee of bonuses. They have offered me just over £700 compensation, which they say is in accordance with FSA guidelines. Does anyone have a view on whether this is fair or is worth pursuing to FSA?

dunstonh

If they have used the FSA calculation rules then as long as the figures are input correctly, then the end result will be correct.

It is not a bargaining issue. Its a straight formula known as mortgage fundamentals.

Does anyone have a view on whether this is fair or is worth pursuing to FSA?

The FSA would have no interest in dealing with you as they do not handle individual complaints. You may mean the FOS but its a pre 1988 policy so its prior to their regulation. However, as the company has agreed to review the complaint and upheld it, all the FOS would just ask them if they have used the right calculation. You would wait about 3-12 months for that to take place. So, totally pointless doing that.

DDD_4

thanks for taking the time to reply - a useful view.