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APMM says now is time to sell endowment

There has never been a better time to sell an endowment, the latest figures from the Association of Policy Market Makers reveal.

Brian Goldstein, chairman of the APMM, says high levels of demand for traded endowment policies, mean consumers could see the best price paid for their endowment.

Goldstein says: “In my opinion, if you’ve made a decision to cash in your policy, there has never been a better time to sell it rather than surrender. Market makers are seeing unprecedented demand and are reporting that they are paying an average of 15 to 18% above surrender value for policies, up from an average of 10 to 15% earlier this year. In addition, in June of this year, some market makers were paying up to 36% more than surrender value for various policies which had 10 to 15 years to run.

“For policyholders who have decided to dispose of their policy, it is essential that they consider selling it rather than just surrendering as they could make a significant amount more. Also, because demand is at such high levels, market makers are far more likely to buy policies than at any time in the past.”

Mr Goldstein urged anyone who was thinking of disposing of their policy to seek professional advice before they acted.


FSA will focus on dodgy promotions

One of the more emotive areas of mortgage regulation is financial promotions and the rules that surround them. There is a widespread perception that the Financial Services Authority has done little to police promotions and that nearly two years after Mortgage Day a significant number of firms continue to flout the rules.

Multiples are a scandal-in-waiting

The papers are full of concern over the huge amount of outstanding unsecured personal debt in the UK. The base rate has edged up 0.25% and the Monetary Policy Committee is widely acknowledged to be ready to recommend raising the rate further. Property possessions are on the up and more people are failing to meet their financial liabilities.

Cascade systems slammed

A small packager has slam-med lenders’ cascade systems for offering no incentive to packagers looking to place prime business. Paul Suchet, director of Alexander Finance Services, says he’s fed up with losing business when sub-prime cases are cascaded up-wards to prime because the client’s case is referred back to the broker who then app-roaches the […]

AMI launches sub-prime financial promotions factsheet

The Association of Mortgage Intermediaries has launched a factsheet on financial promotions for sub-prime mortgage products. It has been designed to give an overview of common errors on sub-prime promotions and how these can be addressed to help create compliant financial promotions.Earlier this month the FSA published a progress update on its financial promotions work. […]

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Pension Wise — now taking calls…

Those with decent-length memories will recall that in the 2014 Budget statement George Osborne announced the new (and entirely unexpected) pension freedoms. The new rules come fully into force in less than two weeks.


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