View more on these topics

Endowment complaints double

Complaints about endowment mortgages have more than doubled in the last

year, according to the new financial ombudsman service.

The news comes as the FSA reveals to Money Marketing that three million

reprojection letters have been sent out to consumers tellingthem of

potential shortfalls on their mortgages.

The financial ombudsman service says complaints are now up to 500 cases a

month from 200 last year.

The new ombudsman, which takes over from the five existing ombudsmen and

three complaints&#39 handling schemes once the Financial Services and Markets

Act takes effect, puts the rise down to adverse publicity. It expects a

further increase asa result of the letters.

The bulk of the complaints arise out of dissatisfaction with the advice

given but some are due to the way the endowments have been set up, for

example when they run past retirement.

Between five and six million letters in total will go out from providers.

Life office Standard Life only started sending them out this week after

last week&#39s vote on demutualisation.

The letters are colour-coded red, amber and green according to the

potential risk of a shortfall. They advise investors on their options in

the event of a shortfall.

Around 40 per cent of complaints being made to are currently awarded in

favour of investors although some decisions are not formally binding. Cases

can also be settled at an earlier provisional assessment stage.

Financial Services Ombudsman David Cresswell says: “It is both a detectable and significant rise, probably due to all the publicity.

“Complaints have been creeping up on a monthly basis. The letters also

have a long tail and not everyone has received them yet.”


PPP forecasts rise in means-testing level

Long-term care insurer PPP Lifetime Care says it is expecting a GovernmentWhite Paper on long-term care within the next two weeks.PPP predicts the paper will come hot on the heels of the comprehensivespending review which is expected before Parliament breaks for thesummerrecess.The company says the paper is likely to look at four key areas, includingthe […]

The business is out there

Don&#39t despair, the work is out there,you just have to look carefully. SomesmallerIFAs seem dismayed at the potentially adverse impactof stakeholderpensions on their business.They point to the much reduced capacity of commission under stakeholderwhen compared to personal pensions and correctly infer that it will be verydifficult to justify selling a new £100 per month personal […]

Commission doubled on Unum group protection

Unum is doubling IFA commission on group income protection schemes to enc-ourage more intermediaries into the market.Commission on its group IP schemes will be increased to 24 per cent from12 per cent until the end of the year.Unum&#39s “market expansion bonus” is available on new business to employersprotecting between 20 and 200 lives who have […]

Michael Folger

More than a passing resemblance to Paul Newman, don&#39t you think?” asks FSApress officer Jackie Blyth as she hands me a photo of director ofinvestment business Michael Folger, a piece of information which is dulyfiled in case he needs to be charmed.But it turns out that such journalistic tricks are not needed. He is theone […]

Survey cover

EEF/Jelf Employee Benefits Sickness Absence Survey 2015

EEF stated in its 2015 EEF Manifesto that the UK’s growth prospects depend on people being fit, working and productive. Keeping people in work and helping people return to work is very important for the manufacturing sector. It means boosting productivity by getting people back into work as early as is possible, as well as fostering workplace cultures and environments that proactively manage individuals’ health conditions so that all can benefit from lower sickness absence outcomes.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm