Think You Were Missold Your Endowment Complain Now!!!! [CLOSED]

EdInvestor

The rule is that you have 3 years to complain from the time you get a "red letter" saying there is a "high risk" of a shortfall.

Girlpower: it looks as though you might be in line for a windfall for your policy in about 18 months, but too early to say how much. This shouldn't affect any misselling claim.

GIRLPOWER_2

thanks so much for the reply but please explain??? do you think it will go up in vaule in 18 months and it will be worth cashing it in then???? I was going to complain.. see if I got anywhere then cut my loss and cash it in.


oh and my comp is not showing any quote or thanks buttons on any posts but when it does I will come back and give you one!!!!

dunstonh

thanks so much for the reply but please explain??? do you think it will go up in vaule in 18 months and it will be worth cashing it in then???? I was going to complain.. see if I got anywhere then cut my loss and cash it in.

Depends where it's invested. If its a good fund (or funds) with decent potential, then its still possible it can hit target, whilst still showing a shortfall on projections. Equally it could be a totally naff fund with no chance of growth again in the short term. Being RSA, i would guess the latter. However, they do have some unit linked life funds so I wouldnt assume anything without checking.

GIRLPOWER_2

What questions do I need to ask Norwich union then??? Do I just ask who they have invested my money with??? Sorry if I sound thick but I really do not know anything about this subject.

dunstonh

GIRLPOWER wrote:

What questions do I need to ask Norwich union then??? Do I just ask who they have invested my money with??? Sorry if I sound thick but I really do not know anything about this subject.

Is it Royal Sun Alliance or NU?

Either way, you want to ask them the name of the fund(s) it is currrently invested in and if there are other funds available. If so, what are those funds (they may prefer to send that information if there are a lot of them).

It is also worth asking if there are charges for switching funds (if there are more funds available - if there is only one fund, its not worth asking this).

EdInvestor

Girlpower's policy is with General Accident, hence my comment about a possible windfall when NU (who bought GA) distributes GA's orphan assets as it says it plans to do (but not for at least a year.)

I went via a financial adviser at the time who talked about us having money over to spend not a shortfall. We wanted a repayment but he convinced us this would be the best way to pay off and make money.

Girlpower can complain to the IFA about this (not to NU).She shouldn't surrender the policy until after the windfall gets paid IMHO.

dunstonh

Sorry, got mixed up with the other posts on this thread. Always easier to start a new thread on these things.

GIRLPOWER_2

have just spoken to Norwich union who can not give me any details but will get the "team" to post it out within 5 days.

I asked for any info they had on the ga orphan assets.. they say that they are waiting to get a finanical advisor in to look at it and see what is the fairest way of sharing them out and who should be entitled to them but this will not be looked into untill 2008.

Pete2001

Hi,

I've read this entire thread and only found one case that is similar (Fullup on page 6) to this one. My brother was sold an endowment mortgage in 1996 to target £51,596 after 25-years. At that time my brother was living at home, had no property lined-up and was not even looking to move in the foreseeable future (in fact he didn't buy a house until 2002). The advisors who sold the mortgage were well aware of this, yet still claimed that it was an excellent product for him. I was living away from home at the time but have always felt it was wrongly sold. As with so many other cases, the shortfall warning letters are now showing up. The only thing that confuses me is the way in which this case differs from nearly all the others - e.g. misselling tends to depend on being questioned re. attitude to risk and guaranteed returns etc. In my opinion, regardless of all other criteria, this product should never have been sold to my brother as it was entirely inappropriate for his circumstances at the time. Just wondering if anyone could offer any advice - e.g. how to proceed or tell me I'm totally wrong! Thanks in advance for any help,

Peter

dunstonh

Pete2001 wrote:

Hi,

I've read this entire thread and only found one case that is similar (Fullup on page 6) to this one. My brother was sold an endowment mortgage in 1996 to target £51,596 after 25-years. At that time my brother was living at home, had no property lined-up and was not even looking to move in the foreseeable future (in fact he didn't buy a house until 2002). The advisors who sold the mortgage were well aware of this, yet still claimed that it was an excellent product for him. I was living away from home at the time but have always felt it was wrongly sold. As with so many other cases, the shortfall warning letters are now showing up. The only thing that confuses me is the way in which this case differs from nearly all the others - e.g. misselling tends to depend on being questioned re. attitude to risk and guaranteed returns etc. In my opinion, regardless of all other criteria, this product should never have been sold to my brother as it was entirely inappropriate for his circumstances at the time. Just wondering if anyone could offer any advice - e.g. how to proceed or tell me I'm totally wrong! Thanks in advance for any help,

Peter

These tend to end up virtually always as upheld complaints. They are called pre-sale endowments. Unlike the endowment versus repayment compensation method, these circumstances usually result in the policy being voided and the premiums being returned plus interest.