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Do we or don't we?
amycroft
Posts: 2 Newbie
Can anyone help? Is anyone willing to comment?
We have a FP endowment due to finish July 09. It is no longer linked to our mortgage but we have continued to pay in each month as a savings option.
the growth, as expected, is poor at 0.25% per year (about £20). The plan value in July 07 was £10,179, sum assured, declared bonus £7,693 so our gauranteed sum is £17,872. We have been given projected figures of 21,500 at 4%, 21,800 at 5.5% and 22,500 at 8%. These include the 'current' final bonus rate of 50%.
We enquired as to the surrender value today and have been offered £20,246. - our concern is that whilst current final bonus rates have increased in recent years we can't help thinking that maybe the final bonus next year will not match todays surrender value especially as in previous years FPs final bonus has varied from 22 - 30% (+ we would have paid an additional £600 into the policy).
Maybe someone has more insight to final bonus' in the future short term - but our question still remains - do we or don't we surrender? Any info will be really appreciated.
We have a FP endowment due to finish July 09. It is no longer linked to our mortgage but we have continued to pay in each month as a savings option.
the growth, as expected, is poor at 0.25% per year (about £20). The plan value in July 07 was £10,179, sum assured, declared bonus £7,693 so our gauranteed sum is £17,872. We have been given projected figures of 21,500 at 4%, 21,800 at 5.5% and 22,500 at 8%. These include the 'current' final bonus rate of 50%.
We enquired as to the surrender value today and have been offered £20,246. - our concern is that whilst current final bonus rates have increased in recent years we can't help thinking that maybe the final bonus next year will not match todays surrender value especially as in previous years FPs final bonus has varied from 22 - 30% (+ we would have paid an additional £600 into the policy).
Maybe someone has more insight to final bonus' in the future short term - but our question still remains - do we or don't we surrender? Any info will be really appreciated.
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Comments
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we need help here please!0
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I'd ignore the projections and ask them what a current maturity value for this policy is. I'd guess it will be rather more than £600 more than the current surrender value, in which case keep it of course.Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam0
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