JUST FOR YOU LIFETIME MORTGAGE
Offering flexibility and a variety of options to help you design personalised solutions for each client, a need highlighted by the FCA’s review of equity release sales and advice process.
Solutions as unique as your clients
We've added medical underwriting across our Just For You Lifetime Mortgage, so it's easier for you to deliver solutions unique to every client.
With Just For You Lifetime Mortgage medical underwriting, six in 10 people could borrow more, or get a better interest rate to reduce their borrowing costs.
By combining with a flexible choice of options, you can now design personalised, tailored solutions for every client - as unique as they are.
Learn more here.
Manage borrowing effectively
- Reduce costs of borrowing
Medical underwriting could help your clients achieve a better interest rate to reduce their costs of borrowing.
- Servicing interest
Clients with surplus income every month could benefit from interest servicing and a potential reduction to the roll-up interest rate.
- Using cashback to borrow less
Our cashback can help clients reduce the loan amount needed (and so the LTV), which could mean a lower interest rate.
Learn more here.
Early repayment charge options
The Just For You Lifetime Mortgage now offers a choice of Fixed or Variable Early Repayment Charge (ERC), so you can recommend the most suitable option for each client's needs.
Those choosing not to service monthly interest can pay up to 10% of each advance in every 12 month policy period without incurring an ERC.
Read our ERC guide for more information.
Maximising funds available
Clients wanting to access as much money as possible may be interested in our flexible cashback options, paid in addition to the loan to value (LTV).
Alternatively, cashback can be used to reduce the size of loan required.
Learn more here.
Comparison of features between interest roll-up and interest serviced
Flexibility and choice for your customers |
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|
Feature |
Interest roll-up |
Interest serviced |
| A tax-free lump sum | Yes - minimum loan £10,000 | Yes - minimum loan £20,000 |
| Drawdown available | Yes | Yes |
| Cash facility option | Yes | Yes |
| No Negative Equity Guarantee | Yes | Yes |
| No affordability checks | Yes | Yes |
| LTV ranges | Yes - see our 'At a glance' guide for current LTVs. | Yes - see our 'At a glance' guide for current LTVs. |
| Option to make partial repayments |
Yes | Yes - however an ERC may be applicable. The ERC free feature for partial repayments doesn't apply. |
| Pay some or all of the interest by monthly direct debit | No | Yes |
| Compound interest | Yes - the impact of this will be reduced by making partial repayments. |
Yes - the impact of this could be reduced by paying some or all of the monthly interest. |
| Payment holidays | N/A | Yes - one request up to three consecutive months in each policy year. |
| Stop making interest payments at any time |
N/A | Yes, if this happens the loan switches to a roll-up basis. |
| Minimum age at application (youngest borrower) | 55 | 55 (65 for J6) |
| Maximum age at application |
85 | 85 |
| Minimum property value |
£70,000 - see our Acceptable Properties Guides for Full Valuations and Desktop Valuations |
£70,000 - see our Acceptable Properties Guides for Full Valuations and Desktop Valuations |
| Maximum loan/facility |
England, Wales and Scotland: Northern Ireland: £250,000 (J1 and J2) |
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