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Endowment mortgages

Discussion in 'Personal' started by NellyFUF, Jul 8, 2011.

  1. NellyFUF

    NellyFUF Lead commenter

    Without consulting me Mr Nfuf changed our mortgage to an endowment mortgage.
    We now owe £20,000 on our £70,000 mortgage.
    Good eh?
  2. NellyFUF

    NellyFUF Lead commenter

    I mean the mortgage thingie leaves us owing £20,000 when it is finished.
  3. Two questions:
    When?? A few years ago I recieved some money back, having been mis-sold an endowment mortgae (not exactly mis-sold but it wasn't right, anyway). i changed to a repayment and just paid it off. A year or so ago, was advised to just cash it in because it will be worth so comparatively little, given the amount I pay into it.
    You are still with Mr Fuf because...?
  4. NellyFUF

    NellyFUF Lead commenter

    We have kinder and I don't want them to be upset.
    He also sold his shares in his employer's business at a loss. He has not exactly told me about this. I just get a bit of info from said kinder.
    all without consulting me
    and given away my garden to NFH

  5. Yes. Hence question 2. You don't mention many redeeming qualities - but maybe you come on here to sound off?
  6. NellyFUF

    NellyFUF Lead commenter

    I do.
    Well that is what I said. I do.
    In the wider scheme of things he is the hero. My mum said he was the best thing about me.
    But she is the one who drank a bottle of gin and sat in a hot bath when pregnant with me.
    So maybe that is not the best recommendation.
    He is very soft and kind.
    As I go down the toilet, he is very soft and kind.
    I would never have agreed to an endowment mortgage. I am stupid but even I could see the flaws and the problems.
  7. Nelly, maybe you need to take charge a bit. Get your name on financial stuff and get out there and tell your neighbours to sod off.
  8. RJR_38

    RJR_38 New commenter

    I am guessing the mortgage is in his name only then? (and if this is the case - WHY??)
    If it is in joint names the bank wouldn't have been unable to change it without your permission as well and so they would be in breach and you could get them to put you back on repayment etc at least. (I would be threatening financial ombudsman if this is the case)
    Also, if it happened a while ago it might be worth looking into the 'being mis-sold endowmwnt mortgages' area. There are companies that do this for you but a bit of online research and you will be able to sort it for yourself I am sure.
  9. NellyFUF

    NellyFUF Lead commenter

    Getting my name on financial stuff occupied me when I should have been questioning what changes were being made to our mortgage.
    I was narked because the mortgage company would not accept my maiden name.
    meanwhile changes were made to the mortgage that I would not have agreed with
    Anyway. There is our mortgage not paid off.
  10. NellyFUF

    NellyFUF Lead commenter

    We moved here in 1987 which is 24 years ago. Borrowed for building works in 1990 and also a fe years later. Somewhere along the line the mortgage was changed to an endowment type. Over my dead body I would have said.
    So now we owe 2/7 of the amount.
  11. NellyFUF

    NellyFUF Lead commenter

    No legal redress.
    He works for a Building Society as was, now, a bank.
    I have never signed owt. Don't remember signing owt.
  12. anon468

    anon468 New commenter

    Nelly, I have nothing remotely constructive to offer by way of advice.
    But I can give you a big hug and offer you some of my wine (it's nice wine).
  13. In the distant past endowment mortgages did appear to be a sensible option. I think they were still considered to be good products around 1987/90.
  14. Yes I took mine out in 1987 and it was supposed to be a brilliant deal. It was expected to pay me £60K on a £30K mortgage. Now it's due to mature I'll be lucky if I get £20K. Luckily though it is no longer attached to any mortgage so I shan't worry. Just be peeved.
  15. NellyFUF

    NellyFUF Lead commenter

    What baffles me is that when a shortfall was diagnosed/anticipated, why didn't we get a top up mortgage? Something to fill in the gap?
    I'm not that good with figures and about financial things I mostly don't care and just sign on the dotted line as instructed.
    But I do know that endowment mortgages are a bad idea. I knew it when they became popular and I am most upset that I have one. We should be near to paying off our mortgage but we have to find the short fall pretty soon. The sum owed represents my life's savings.
    I don't know how much OH lost selling shares in a panic but I think that it would have covered the shortfall. He likes to pretend that none of this happened.
  16. magic surf bus

    magic surf bus Star commenter

    We started an endowment mortgage in 1988, and sold it and banked the proceeds just before the recent recession began to bite. They seemed like a good idea at the time, and we were sold ours by a close family friend who would not knowingly have ripped us off. I was made fully aware that it might not perform if the economy took a downturn, so I never made a claim for mis-selling. I took a gamble and it didn't work - nobody else's fault but my own.

    I reckon the only way anyone can avoid nasty surprises like that outlined by the OP is to have joint names on everything financial. I'm still surprised by married couples who keep separate bank accounts to pay their salaries/wages into. I mean fair enough if it's a second marriage and there's previous spouses and kids to consider but first time around?
  17. I think the problem with endowments was that they relied on high interest rates, didn't they? Most people got enough to pay off the mortgage at the end of the term and then buy a car. "No chance" was the reply I got when I asked my mortgage arranger if it might not hit target.
  18. My parents had an endownment mortgage, paid if off really quicky and reaped the benefits. That is yonks ago though.
    What the sense in them nowawadays is, I don't know.
    But really, shouldn't these things be a joint decision?
    If the mortage is in his name, is your name at least on the deeds?
    Whilst married, we had a joint account.
    NEVER EVER again. Biggest mistake of my life and I will be telling my kids not to do the same (interesting, so will my ex).

  19. DM

    DM New commenter

    Her name can't be on the deeds if she is not on the mortgage. In fact, she would have had to sign a document when the mortgage started stating that she does not have and will not acquire any financial interest in the property.
  20. That is a damn pooey.
    Because that would mean he is the sole mortgage taker and she has no diddly squatty rights.


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