Endowment mortgages are one of the biggest scandals to hit the financial services industry, sold off the back of false promises by commissionhungry salesmen.
Next, a bunch of kindly and indignant folk persuaded the people who need persuading that
endowment mortgages were a mis-selling scandal.
The cost of claims related to the mis-selling of
endowment mortgages has doubled to more than pounds 2bn in little over a year, the City watchdog said yesterday.
HOMEOWNERS with
endowment mortgages are facing increased shortfalls at the end of their policies.
AS many as six million people with
endowment mortgages are facing a shortfall that will leave them in financial difficulty .
A pounds 100BNfigure is being bandied by finance analysts as the total compensation which might be paid to home buyers who took out
endowment mortgages which fail to pay off a home loan when the policy matures.
The Financial Services Ombudsman today warned that eight in 10
endowment mortgages look doomed to fail - leaving people short by an average of pounds 5,000.
The financial industry was yesterday accused of a catalogue of failings over the way it sold and managed
endowment mortgages.
MPS ACCUSED the financial services industry today of a catalogue of failings over the way it sold and managed
endowment mortgages.
The association added that the FSA had published mis-leading advice when it said on average people with
endowment mortgages had fared at least as well as they would have done if they had a repayment mortgage.
Homeowners with
endowment mortgages are being hit by falling share prices and massive shortfalls in funds to pay off their loans.
WHEN
endowment mortgages arrived in Ireland in the late 1980s building societies billed them as a revolution for home buyers - but just over a decade on the outlook is bleak for many policy holders.