Endowment/mortgage question

EdInvestor

Could the Phoenix posters please start new threads with their figures, rather than interrupt this one, please.


These are the figures you need to post:

Guaranteed sum assured
Declared bonuses
Surrender value
Monthly premium
maturity date
Maturity forecasts
Interest rate payable on mortgage.

hostertlady

whoops, my fault, i just tagged along with this one and then someone else did too:D

will post on new thread

Dave55

Hi All

Just an update and final few questions if i may.

The Standard life policy has a £4110 cash in value with a final value promise of between £400-600 at the end of term in 2015.

That brings me to my final questions on this matter, the surrender values are as follows

Friend prov 1 £10100
Friend prov 2 £ 1090
Standard life £ 4110 total £15,300

I have been in touch with alliance leicester and i can over pay on top the interest payment £499 a month extra, plus 10 % of remaining balance every January with no penalty. Current rate is variable locked in to the end of term 3 year 6 months.

The overpayments have been confirmed as paying capital off.

So How do i do it ?
i.e where do i put the £15300. I have my ISA allowance available for both of us till next april do i just overpay to maximum till the rest runs out of an ordinary savings account..

Any suggestions at this stage most welcome.

Dave

EdInvestor

Dave55 wrote: »

Standard Life Homeplan
Target £9186
forecast 4% 6710---5.5% £7500---8% £8370

If you surrendered this policy now and used the money to overpay the mortgage @7.5% the return at maturity would be 9232, which would beat the best projection plus the mortgage promise amount.

Re where to keep the lump sums, you could use the ISAs and/or a high interest account.