Were you mis-sold your endowment?

According to research by fairinvestment nine out of ten Britons who have an endowment policy think they were victims of mis-selling. The same amount ofpolicyholders also thinks that they will need to come up with extra cash to cover their mortgage at the end of the mortgage term, as they believe they will be left with a short fall.

In the 1980s and 90s there was great hype about endowment policies and people believed that not only would pay off their interest only mortgage but also leave them with a nice lump sum at the end of the polciy term.

In-fact in a poll by faitinvestments.co.uk they found that 86% of endowment policyholders were expecting their policy to suffer a shortfall.

If you feel you were mis-sold your endowment policy you can make a complaint to the ombudsman service.

If you were not given adequate information, or if it was not made clear to you that an endowment policy is a long term commitment you may have been mis-sold it, you should have also been told about the risks and fees involved.

It’s said that if you were not given this information then you would be unable to make an informed decision therefore maybe able to claim some compensation depending on your circumstances. To be eligible for compensation and to make a complaint, you would have to be mis-sold your policy as well suffer a shortfall when the policy matures leaving you unable to pay off your home.

Source: ifaonline