Endowment Mortgage - any tips please?

janetv

Hello All

We took out our first mortgage in 1984 via a self-employed broker who has now long since gone bust/retired/deceased. We were strongly recommended to take out an endowment which given our age (21) and circumstances (I was in the public sector) probably wasn't the best advice? The mortgage was with Middleton Building Society, which later merged with the Lancastrian and eventually with Northern Rock. Having tried to go down the NRAM route to query whether we could claim it was mis-sold, we were told that as we cannot trace the company who sold us the endowment we cannot go any further with this. Anyone else been in a similar boat? Cheers

AnotherJoe

Why do you think think it was missold?

davidmcn

Leaving aside the fact that you're almost certainly out of time anyway (when did the policy mature, for example?), the only party who appears to have advised you was the broker who no longer exists. So who are you hoping to claim against and why?

dunstonh

We were strongly recommended to take out an endowment which given our age (21) and circumstances (I was in the public sector) probably wasn't the best advice?

In 1984, it probably was the best advice. If this site had existed back then, it would have a best buy endowments section. The media was pro endowment. In 1984, no endowment had ever failed to hit target and people were routinely getting back 4-10 times more than their target amount.

If the policy commenced before March 1984, you also had tax relief on the policy making it much cheaper. Pre march 84, an endowment mortgage was usually around £40pm cheaper than a repayment mortgage. Post March 84, about £25pm cheaper. You also had double MIRAS and interest-only mortgages benefitted more.

There was not a hint of what was to come 17 years later.

Having tried to go down the NRAM route to query whether we could claim it was mis-sold,

Why would you contact NRAM? That is like going to ASDA to complain about something Tesco did.

Anyone else been in a similar boat?

yes. you give up.

Financial services regulation didnt start until April 1988. You bought in 1984. You have no-one to complain to and even if that person did still exist today, they would not consider your complaint as it is pre-regulation.