Grounds For Complaint

Eaton Legal Services


We deal with endowment mortgage misselling claims on a no win no fee basis and if the complaint is unsuccessful we will not make any charge to you. Our claims are completely risk free and you will not have to fund or pay for any expenses during the course of the endowment compensation claim. If you would like free financial advice on the telephone, without obligation, just complete the contact form.

Grounds for complaint

In order to make a claim for compensation you must normally fall into one of four categories for complaint. The basis of a complaint is not in respect of how badly the endowment policy actually performed but whether or not proper advice was given on such financial arrangements and in particular whether you were warned that these policies of insurance may not perform as anticipated in the event of the overall financial climate changing thereby reducing initially anticipated returns based on projected profitability of investments made, effectively on your behalf, by the company concerned. The grounds for complaint, that may lead to a financial settlement, but which are not exclusive include:

  • Suitability of the endowment
    • failure to discuss other repayment options
    • failure to explain about the stock market, investments and risks involved
    • non disclosure that an endowment policy gives a poor return if cashed in before maturity
    • inappropriate promises or absolute guarantees of mortgage repayment on maturity
  • The policy sale failed to comply with the regulations resulting in endowment mortgage misselling
    • failure by the adviser to outline fees and charges and their effect over the term of the policy
    • the adviser did not complete a fact-find during the sales process.
  • Policy Churning
  • Financial difficulties in retirement

It is important to establish when the policy was sold as different rules apply to those sold before 28 August 1988. Financial Services legislation effectively introduced the Financial Ombudsman Service in 1988 and if the bank or insurance company is now bankrupt a complaint can be made to the Financial Services Compensation Scheme for policies sold after the introduction of the legislation. Policies sold before the legislation do not have the protection of the Financial Ombudsman or Compensation Scheme however many insurance companies have agreed to allow complaints about policies sold before 1988 to be dealt with by the Ombudsman.

0845 456 8669