TEP FAQs
Here are some frequently asked questions and answers which should help you understand more about this service.

Traded endowments

How do I know if I own an Endowment Policy?
During the eighties and early nineties, endowment mortgages were the popular method of financing a mortgage.

If you mortgaged your house through an endowment mortgage then you will have an endowment policy, which probably sits in your filing cabinet or drawer at home.

Some 8 million people in the UK now own an endowment policy, it is expected that the majority of these policies will fail to pay off the mortgage debt.

What services do you offer?

FastTEPS offer a comprehensive service for those either wishing to sell their endowment policy and/or claim redress for endowment mis-selling, even if you have sold or surrendered the policy or the policy term has now expired and you have been paid up you probably still have a valid claim.

What Endowment policies do you buy?

Only With-Profits Endowments and there is no minimum surrender value or minimum term. All policies type could have a valid mis-selling claim.

What can I do if my Endowment policy is not a full With-Profits?

You can still fill out the form for endowment mis-selling the claims experts will examine whether or not you have a valid claim.

How do I establish if my policy type is With-Profits or Unit-Liked?

Check your annual policy statement or bonus notice if it mentions units at all then it is unit linked.

If it mentions bonuses as an amount in cash and adds them to the basic sum assured then it is with-profits.

Unit linked with-profit policies also mention bonuses, however these are usually in the form of percentages or bonus units.

Only with-profit policies sell on the second hand market.

More Information on With-Profits Endowments

A With-Profits Endowment policy is a contract written by a Life Assurance Company to pay a fixed sum (called a basic sum assured), plus accumulated bonuses that are declared annually, to an assured person, on a fixed date in the future (or to his/her estate if he/she dies earlier), provided that the premiums have been paid as contracted.

How long does it take sell an endowment?

Once you have accepted an offer to sell your Endowment, it normally takes between 4 to 7 weeks to complete.

When can I expect to receive my money?

You will receive a cheque for your policy as soon as all necessary clearances have been obtained by the Market Maker. The time taken will be dependent on many factors, and often it may be the life office which is taking the time.

What will I need when selling my endowments?

The original policy document, proof of identity, address and age. The brokers can guide you through the process of selling endowments.

When am I committed to an offer?

The deal is subject to contract until you have signed the relevant documentation, and sent it back to the market maker's TEP transfer agents. Only then are you committed to proceed with the policy sale.

Mis-selling

How would I know if I was miss-sold a policy

When you submit your endowment details using the FastTEPS policy submission form, included in the form are some questions which deal with endowment mis-selling claim, by answering these questions the claims expert will establish the probably have a valid claim.

How long does a mis-selling case take to resolve?

The financial regulator (the Financial Services Authority) has told endowment issuers that they should assess claims within eight weeks. Life Offices presently have so many complaints to deal with that they are finding it difficult to meet this target. They are employing extra staff in an effort to clear as much back log as possible. The claim handlers monitor the process closely and will nudge the Life Office where we find they are lagging unnecessarily.

Should I wait to see if my situation improves or is there a deadline for complaining?

You should act now. The financial services regulator, the FSA, has laid down rules that allow endowment companies to time bar complaints. Life Offices under guidance from the FSA have generally allowed a three year claims period from when you should have realised there was a problem (which is usually taken to be when you receive a letter from your endowment company projecting a severe shortfall at your endowment's maturity - called a 'Red Letter') or within six years of when your endowment was sold to you.

Does it make a difference if the policy was cashed in\surrendered, sold, or finished?

No so long as you can provide evidence that you were the policyholder and that you were mis-sold the policy you can claim compensation.

If my complaint was turned down do I get a second chance?

You generally have one chance to complain. However if your complaint was not upheld we have had cases where we have appealed successfully to the ombudsman. The complaint handlers will need to see copies of all communication.