Mis-sold endowment policies now even weaker, home possessions to rise to new record levels

Millions of people were mis-sold endowment policies in the 1980s and 1990s, often being told that endowments were ‘guaranteed’ to pay off their home loans. Yet, only 1.8million people have received any compensation.

Now, in wake of the current crisis in the financial markets, endowment policy holders are about to be hit again. Over 4 million homeowners will not be able to pay off their morgages, and a third of those who try to switch to repayment morgages are set to be refused loans by the belt tightening banks.

A little like closing the barn door after the horse has bolted, banks are now enforcing stringent lending rules and clamping down on credit availability to people who don’t satisfy the new lending criteria.

Eight out of ten endowments fail to cover the full morgage, so homeowners will be left to pick up the pieces. And since it’s now going to be harder to get a loan, your house becomes in danger of being repossessed. Home repossessions are expected to rocket to record highs in the coming months. just more fallout from the corrupt debt as money system forced on us by the central banks.