The Price of Escaping the Savings Trap

Daily MailMay 20, 2004

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Summary


THERE'S a glimmer of hope for the hundreds of thousands of with- profits bond savers trapped inside companies that are now shut to new business.

Some customers with modest savings can get out of these dreadful investments with no penalty, while others can get out at no cost on set dates.

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The Price of Escaping the Savings Trap

The mainly elderly savers stuck with these bonds are receiving paltry returns, in some cases nothing at all. But if they move, they will be hit by market value reduction (MVR) - exit penalties which in some cases total more than a quarter of their savings, ...

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