Not upheld: Other regulated complaint complaint against Golden Charter Limited

Decision detail

Summary

Mrs S purchased a pre-paid funeral plan from Golden Charter in June 2015 with fixed monthly payments of £37.88, believing she would pay for ten years. In February 2023, she discovered she would potentially pay until age 90. Mrs S complained that the sale was mis-sold, claiming the sales consultant never explained the extended payment period. The ombudsman reviewed the signed application form and plan documentation, which clearly stated payments would continue until the anniversary prior to age 90 or death. Although sympathetic to Mrs S's recollection, the ombudsman found Golden Charter had complied with industry standards by providing clear written terms and declined to uphold the complaint.

The Ombudsman's reasoning

The ombudsman applied the voluntary code of practice standards in place at the time of sale in 2015. While acknowledging Mrs S's recollection that she understood the plan to be for ten years, the ombudsman found that Golden Charter had fulfilled its obligations by providing clear written documentation. The signed application form showed Mrs S made active choices about her requirements, and the plan summary and full terms explicitly stated that payments would continue until the anniversary prior to her 90th birthday or death. The ombudsman noted Mrs S had a 30-day cooling off period to cancel if unhappy, and the terms were re-sent in 2017. The ombudsman also noted Mrs S was cognitively sound and had her son's support during the sale.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website