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Endowment payouts cut at Standard Life
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Standard Life yesterday announced fresh cuts to payouts on some maturing mortgage endowments, little more than a fortnight after distributing windfalls to policyholders after its stock market flotation.
A typical 25-year, £50-a-month Standard Life mortgage endowment will now pay out £37,989. Six months ago, an equivalent plan would have paid £40,459.
However, some policyholders will now enjoy bigger payouts, and the insurer has cut "market value reductions", the exit penalties that affect people who cash in policies early or move their money to other insurers.
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