Anyone had or having problems with their endowment policy, my parants have just had theirs released, and it has come in at £30,000 less than the guy told them when they took it out in 1983, is their anything they can do,
All help apprciated.
Cheers
Colin

 

I'm no expert but as far as I am aware this is not unusual and there was a lot of talk last year by the government and certain bodies, basically saying people were finding the settlement seriously lacking on expectations. The salesman have talked the potential up and it's got to hurt when it's so much less in the end. There may be ways of complaining through the Financial Ombudsman Service or Trading Standards/Office fair trading, but as far as increasing the pay out goes I don't think it is possible. They could take some comfort in at least letting people know the company has sold them short....

 

Write to the provider and claim that the policy was miss sold

Were your parents ever told they may not have enough money [I doubt it]

Were your parents ever told they would receive a large lump sum in addition to paying the mortgage off [I expect so]

Use both the above statements in your recorded delivery letter.

It may take some time but you will find IF you have been miss sold the product you will get some form of compensation

How do I know

Happened to my In Laws with Barclays, To be fair to Barclays they looked into the claim and settled the mortgage deficit [after 18 months of letters] they wouldn't pay the "bonus" they expected but at least they wern't stuck with a new loan they weren't expecting

Good Luck

 

Now it's expired, the chances of compensation are very low, i'm afraid.

Anyone who's had to cash in an endowment over the last three years or so will have been badly burned, and it could continue for some time yet, unfortunately.

Your parents will *definitely* have had some correspondence from the endowment provider about this potential shortfall - what did they do in response to that, do you know?

 

Tel,
My Dad was speaking to somebody yesterday, and because it is goverment controled the guy virtully told my dad their was nothing he could do, I just feel they have been ripped off badly because the rest of the money would have seen them through their latter days.
Cheers
Colin

 

IIRC, there have benn people claiming, and winning, against the bank who sold them the policy, as they were sold it on the basis that they would get a lump sum at the end of it, and won't (in my parents case, they will be a couple o grand short).

 

It won't be covered by the FSA and FO as it was sold before 1988, but put your complaint in writing to the seller and the endowment company. I have a couple of clients who got the shortfall in mortgage paid as compensation. - Takes ages though and you have to keep hassling them, as they will be busy dealing with all the post 1988 stuff with the FSA breathing down their necks

 

Thanks Guys!!!!