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  • FIRST POST
    • BirnamBear
    • By BirnamBear 5th Apr 12, 8:53 AM
    • 126Posts
    • 46Thanks
    BirnamBear
    Anyone with a 25 year endowment which matured recently ?
    • #1
    • 5th Apr 12, 8:53 AM
    Anyone with a 25 year endowment which matured recently ? 5th Apr 12 at 8:53 AM
    Just curious as I have one with Scottish Widows which matures a year from now which was for 40k.

    Remember 24 years ago the RBS telling me that I would double my money !! Oh to be so young and naive again

    Guessing I will get 25/26ish k back.
    12 panels south facing,8 panels south-east facing,4KWP system,pitch 40 degrees,Aurora inverter & location is sunny Glasgow.
Page 10
    • Thrugelmir
    • By Thrugelmir 3rd Mar 18, 5:37 PM
    • 61,016 Posts
    • 54,212 Thanks
    Thrugelmir
    Luckily i changed my mortgage to the One account (a mortgage and current acct.,in one) and paid it off 8 years early. Sadly that account is closed to new customers and no wonder, I must have saved thousands in interest payments.
    Originally posted by Magsy99
    No everyone has used the account in the same manner. Instead prefering to use the borrowing facility. Resulting in obvious issues. Property and ATM aren't compatible bedfellows in this tighter regulatory environment.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
    • Magsy99
    • By Magsy99 3rd Mar 18, 6:01 PM
    • 5 Posts
    • 9 Thanks
    Magsy99
    @thrugelmir Yes I agree you could easily get into trouble but we were fairly savvy and never had these problems. Always lived within our means.

    Theres 2 ways you can go when you've never had money..go mad or go without lol
    • fewcloudy
    • By fewcloudy 7th Apr 18, 4:00 PM
    • 246 Posts
    • 132 Thanks
    fewcloudy
    First of several endowments has just matured.
    This one was with Royal London, (was originally Abbey National, then Phoenix, before ending up as Royal London).

    Term was 20 years for 14850
    Included critical illness cover of 55000
    I received misselling compensation of about 2000 8 years ago.
    Premium each month was 60

    Total Unit Value 9910
    Terminal Bonus 2160
    Maturity Value 12070

    Thoughts?

    I'm surprised after years of doom and gloom and projections of around 8k. And the critical illness cover was more than a third of the premium, about 25 IIRC.
    Last edited by fewcloudy; 07-04-2018 at 6:09 PM.
    Feb 2008, 20year lifetime tracker with Sprogget and Sylvester, 0.14% + base for 2 years, then 0.99% + base...
    • TrickyDicky101
    • By TrickyDicky101 7th Apr 18, 6:37 PM
    • 3,190 Posts
    • 2,101 Thanks
    TrickyDicky101
    With the compensation received looks like a decent result to me.
    • dunstonh
    • By dunstonh 7th Apr 18, 6:50 PM
    • 95,773 Posts
    • 63,467 Thanks
    dunstonh
    Projections have been understating the likely outcome for many years with a lot of providers. At one point, one provider was using a low projection that was lower than the guaranteed minimum surrender value.

    I wonder how many endowments were surrendered that really ought to have been kept (not necessarily going to hit target but much better than the projection suggested).

    We are seeing something similar with pension projections at the moment with the projected figures being about half the income that they are likely to provide.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • Imma Number
    • By Imma Number 25th Apr 18, 8:02 PM
    • 180 Posts
    • 157 Thanks
    Imma Number
    CGNU/NU/Aviva With Profits


    Sum Assured:...~11100
    Regular Bonus:.~ 6400
    Final Bonus:...~ 7700 (~44%)
    MEP:...........~ 5700
    Total:.........~30900


    Target: ~ 37500
    Premium: ~ 47.00

    I think the return is ~5.9%pa (If I've calculated it correctly)
    • fewcloudy
    • By fewcloudy 9th May 18, 11:38 AM
    • 246 Posts
    • 132 Thanks
    fewcloudy
    Standard Life Homeplan this time...

    Term 25 years, target 35150
    Premium 55.60

    50\50 With profits endowment

    Value of your invested linked units 15165
    Value of your Life With Profits units 8743
    Final Bonus 5633
    Mortgage Endowment Promise 3749

    Maturity Value 33292

    There were years when annual statements had the pay-out projected to be around 23k, assuming medium growth rate.
    So even though it has failed to pay out what it said it would, a 1857 shortfall doesn't seem too bad somehow...
    Feb 2008, 20year lifetime tracker with Sprogget and Sylvester, 0.14% + base for 2 years, then 0.99% + base...
    • dunstonh
    • By dunstonh 9th May 18, 12:31 PM
    • 95,773 Posts
    • 63,467 Thanks
    dunstonh
    There were years when annual statements had the pay-out projected to be around 23k, assuming medium growth rate.
    Standard Life projections were well known to underproject at stages. Indeed, for a period, their low projection actually gave lower figures than the guaranteed current value. They later adjusted it to match the current guaranteed value.

    i wonder how many people surrendered the policies based on the flawed projections.

    So even though it has failed to pay out what it said it would, a 1857 shortfall doesn't seem too bad somehow...
    Still a good return. The reason for shortfall isnt the return as such but the target rate being set too high (and the monthly premium too low).
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
    • maninthestreet
    • By maninthestreet 9th May 18, 8:24 PM
    • 15,317 Posts
    • 13,871 Thanks
    maninthestreet
    With the compensation received looks like a decent result to me.
    Originally posted by TrickyDicky101
    What? 330 profit over 20 years from a 14,400 investment is pants!
    "You were only supposed to blow the bl**dy doors off!!"
    • TrickyDicky101
    • By TrickyDicky101 9th May 18, 9:44 PM
    • 3,190 Posts
    • 2,101 Thanks
    TrickyDicky101
    What? 330 profit over 20 years from a 14,400 investment is pants!
    Originally posted by maninthestreet
    The 14,400 wasn't invested for the entire 20 years.
    • angela110660
    • By angela110660 9th May 18, 10:11 PM
    • 778 Posts
    • 2,012 Thanks
    angela110660
    Oooh our 25 year Standard Life endowment matures tomorrow- waiting in anticipation!
    Free films - 2009: saw 7 films. 2010 saw 7 films. 2011 saw 7 films. 2012 saw 5 films;2013 saw 7 films; 2014 and 2015 saw 1 in each. Nothing since!
    • fewcloudy
    • By fewcloudy 10th May 18, 10:08 AM
    • 246 Posts
    • 132 Thanks
    fewcloudy
    The 14,400 wasn't invested for the entire 20 years.
    Originally posted by TrickyDicky101

    Ha! That's exactly what I thought as soon as I read that, lol.

    maninthestreet, maybe not too sure how endowments work...? e.g. by end of first year 12 x 38 premium = 456 invested that year... etc etc.


    It wasn't a 60 endowment either; 22 was critical illness. So 38 x 12 x 20 = 9120.


    Yes, end result was not as expected when it was taken out, but my comment was more that forecasted payouts over the last 10 years or so were a lot worse than the final payout
    Last edited by fewcloudy; 10-05-2018 at 10:14 AM.
    Feb 2008, 20year lifetime tracker with Sprogget and Sylvester, 0.14% + base for 2 years, then 0.99% + base...
    • adandem
    • By adandem 12th May 18, 8:08 AM
    • 3,527 Posts
    • 4,765 Thanks
    adandem
    Our Aviva policy has just matured.
    Payments were 27 to make 20,000
    Final figure is 16,670 which includes 3,500 mep.

    We have another policy due to mature in September.
    • angela110660
    • By angela110660 13th May 18, 1:02 PM
    • 778 Posts
    • 2,012 Thanks
    angela110660
    Well the letter arrived!for our Standard Life Homeplan

    Term 25 years, target 60700
    Premium 83.28

    Value of your invested linked units 23026.40
    Final Bonus 15301.33
    Mortgage Endowment Promise 14204.00

    Maturity Value 52531.73
    For years we received red statements so we rejigged our mortgage to be roughly half repayment and half interest only. Paid off repayment part end of last year and threw all the money towards interest only bit. We are well covered with this payout so very pleased with how it has resulted after years of being unsure.
    Free films - 2009: saw 7 films. 2010 saw 7 films. 2011 saw 7 films. 2012 saw 5 films;2013 saw 7 films; 2014 and 2015 saw 1 in each. Nothing since!
    • Stoorie
    • By Stoorie 18th Jun 18, 9:02 AM
    • 3 Posts
    • 0 Thanks
    Stoorie
    New to this forum and to some of the financial jargon, but very interested as my wife has a Royal London (Scottish Life) 25 year endowment maturing at the beginning of September. Basic Sum Assured 11368, premium 48.30 per month. Would it be reasonable to expect a payout c. 22k?
    • fewcloudy
    • By fewcloudy 18th Jun 18, 10:28 AM
    • 246 Posts
    • 132 Thanks
    fewcloudy
    Hi Stoorie,

    I'd say this thread has shown that it is not really possible to guess what these things might pay out when they mature.

    Mine was also with Royal London. Based on my experience I would say that the statements your wife receives from Royal London will be fairly accurate this close to maturity.
    Last edited by fewcloudy; 18-06-2018 at 10:29 AM. Reason: not telling
    Feb 2008, 20year lifetime tracker with Sprogget and Sylvester, 0.14% + base for 2 years, then 0.99% + base...
    • Stoorie
    • By Stoorie 18th Jun 18, 12:14 PM
    • 3 Posts
    • 0 Thanks
    Stoorie
    Thanks fewcloudy, but only recent communication (last week) was detail of the latest (paltry) annual bonus. Would like guidance on current terminal bonuses etc.
    • fewcloudy
    • By fewcloudy 18th Jun 18, 3:29 PM
    • 246 Posts
    • 132 Thanks
    fewcloudy
    I don't know then, as that doesn't sound like the same product I had. During its lifetime, I received annual statements, warnings about its performance, nothing about annual bonuses, and a flurry of comms in the month or two before it matured.
    Feb 2008, 20year lifetime tracker with Sprogget and Sylvester, 0.14% + base for 2 years, then 0.99% + base...
    • dcfc67
    • By dcfc67 18th Jun 18, 4:07 PM
    • 53 Posts
    • 36 Thanks
    dcfc67
    What are the low, middle and higher projections.
    You could also ring then and ask how much was terminal bonus. Ask for last 5 years to see if there is any movement. CIS is currently 70% of basic sum assured
    • Stoorie
    • By Stoorie 18th Jun 18, 5:56 PM
    • 3 Posts
    • 0 Thanks
    Stoorie
    July 2017 projections were 19400, 20000 and 20600 on growth rates of 1.4, 4.4 and 7.4%.
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