MP seeks justice for endowment victims
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.PAUL FLYNN, the Labour MP for Newport West, has launched a campaign against endowment-complaints handling companies, tabling an Early Day Motion (EDM) in the Commons last week that condemned them for offering bad value to customers, writes James Daley.
The EDM has received the support of 29 MPs, including Vince Cable, Lib Dem spokesman on Treasury affairs. In it, Flynn names and accuses one agency, Endowment Justice, after one of its representatives failed to mention its charges in a free broadcast. Endowment Justice charges more than 20 per cent of any compensation that it secures on a no-win-no-fee basis.
However, on his website, Flynn warns: "Some companies offering to handle complaints for people who believe that they were mis-sold endowment mortgages are charging fees of up to 40 per cent of the compensation recovered. Complaints that should only cost the price of a stamp. The companies argue that the complaints process is too complicated and requires financial and legal expertise. However, customers still have to fill in the same forms that they would if making an individual complaint," his website warns.
"Paying a percentage of the compensation is a waste of money as free advice is available from various sources, including the Financial Services Authority and the Consumers' Association, which offer a step-by-step guide to making a complaint."
Endowment Justice vehemently rejects Mr Flynn's criticism, saying that it provides a valuable service: "We firmly believe that our charges are reasonable.
"We offer advice to consumers wishing to pursue a DIY claim on our website, and a free assessment to determine whether the consumer's claim is valid.... They are quite within their rights to use this information to pursue a claim themselves. We are very saddened by this attack."
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments