Make UK endowment paid-up?

A

acannydoitji

Registered User
Messages
49
I would be greatful for advice in relation to this.

I have an endowment with L&G in the UK which is due to mature in 2013. It was put in place to pay off a mortgage on a property which I have subsequently sold so therefore I have no need of the policy. My query relates to whether I should..

A) Cash in or sell the policy - (Registered with a market maker in UK but had no offers)
B) Continue paying the premiums with a view to utilising the policy as a savings vehicle - (Least preferable route due to poor returns thus far)
C) Make the policy paid up and wiat to see what the maturity value is in 6 years.

Any insights or advice will be most welcome.
 
Re: Make UK endowment paid-up??????

That's a complex question.

You need specialist UK based advice imho, which will consider assset allocations in the underlying fund, growth potential, charges, and mortality costings.
 
Agreed...

What you need to think most about is the reason for saving / not saving. A mortgage endowment policy may make sense when you're saving for your mortgage, but not for a big holiday next year.

I'd recommend getting all the quotes and deciding what option suits you best (remember keeping a policy in the UK keeps you exposed to the conversion rate between £ and €, which you may or may not want).
 
Thanks for the advice guys. Based on information I have further gleaned it looks like I may well be better off to accept the cash value & re-invest this. Currently this will outperform the projections of L&G even if I simply put it on deposit at 5%. The former is assuming I can't sell the policy.
 
You must log in or register to reply here.
Back
Top