The Endowment Diary

The Endowment Diary


The Endowment Mis-selling Debacle - one of the UK's worst financial scandals

Wednesday, September 29, 2004

Heads You Lose, Tails You Lose

It seems that those of us who are trying to get compensation for mis-sold endowment policies, are having even more obstacles placed in our way.

The Herald reports the case of one of their readers who managed to obtain a judgement in his favour from the Ombudsman service. However, there was a small problem, the company against which the judgement was made no longer was in business; as it had wound itself up.

The Ombudsman can only enforce orders against companies that are in existence, and the Financial Services Compensation Scheme (FSCS) can only help where the firm has gone out of business; not where the firm has voluntarily ceased trading.

The result being that the hapless policy holder is no nearer gaining compensation.

This is just one of many stories, in the progressively worsening endowment policy scandal, that shows how the system is weighted against the individual who tries to claim redress.

To use a technical term here, it "Sucks, big time!"

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