Sunday, February 1, 2009

Attend the interview with the bank now

Dear Mr. Tan,
I bought minibonds series. When I heard about the lehman brothers bankruptcy in last September, I went to the bank and asked them what would be the next step. They told me to wait.

I didn't hear anything specific for a couple of months so I went back to see the rep who sold me the product. He told me that I should meet his colleague for an interview. I was skeptical given what I read in newspaper about categorizing graduates and non graduates. But he managed to persuade me that it doesn't hurt and someone would call me the next working day.

Someone just called me to have an appointment. Can you advise whether going to meet this manager would help or hurt my chances of getting my money back?

REPLY
It is all right to attend the meeting. You should tell the truth, and focus on the questions listed here.

If you have been truly misled, you should expect a fair offer of compensation.  If you do not get a fair offer, you can escalate the complaint to FIDREC.

Please read my blog in detail for the other information that you need. I am not able to advice you individually on this matter. I hope you understand my limitation.

Insurance company reject claim due to non-cooperation

Dear Mr Tan,
I had an accident on 2005 and had pleaded guilty at the court's hearing. My mother was the one who informed the insurance agent of this accident as the insurance was under her name.

Last year, I received first law letter from the insurance company that they will severe ties with me as I have bleached their contract of not cooperating with them on this case. I had once received a called from them but have told them that i was busy and would return call back which I had told my mother to. Since then, I had not received any further contact from them until this first lawyer letter.

Now I received a second letter to attend to court hearing between the plaintiff (the one whose car I knocked onto), the insurance company as co-applicant, and I as the defendant. Could you advice me?

REPLY
You should reply to the lawyer's letter to explain that you have been willing to cooperate, and you are waiting for their communication.

As to the letter to attend the court hearing, you should bring it to your insurance company's attention. They have to deal with this matter. As they are more experienced, they will know what they have to do.

Forum, Sat 7 Feb 2009

I have agreed to speak at the following forum on the topic "Challenges that alternative/opposition parties have to face".

Date: 7 Feb 2009, Saturday
Time: 2-5 pm
Place: Copthorne Orchid Hotel, Dunearn Road, Radius Room

I hope that the regular visitors of my blog will attend this forum.

More details here:

Distribution cost of life insurance policy

Dear Mr. Tan,
I read your survey about "life insurance policy". I bought a policy a few months ago, and the agent did not tell me about the distribution cost. I am now aware about it, after reading the survey results. I feel cheated that such a high cost (representing nearly two years of my savings) was not brough to my attention, although it is printed in the many pages of the benefit illustration. Can I seek a recourse now?

REPLY
It is the duty of the insurance agent to disclose to you about the distribution cost of the life insurance policy that you have bought. 

If it is not brought to your attention, I suggest that you should make a complaint to the insurance company and request that the policy be cancelled for a full refund. If the company does not agree, you can lodge a complaint with FIDReC (www.fidrec.org.sg).

You should look at the amount of the distribution cost. If it is a few hundred dollars, it is a fair remuneration to the insurance agents, in which case, you should not make the complaint. However, if it is $1,000 or more, you can make the complaint.