THE JUST FOR YOU LIFETIME MORTGAGE
The Just For You Lifetime Mortgage makes it easy for you to design a solution that's right for your clients' needs and adapts if things change:
- Take a cash lump sum, or release cash as and when it’s needed from a pre-agreed facility
- Start with interest serviced and can switch to roll-up if required
Benefits of servicing interest
Reduction to the roll-up interest rates
- Clients choosing to pay some or all of the monthly interest can benefit from a 0.20% reduction to the roll-up interest rate if servicing >25.01% of the monthly interest amount.
Read our interest serviced case studies and infographic to learn more:
Tom and Anna Hill's story - raising funds to repay an interest only mortgage
Christopher Spencer's story - providing a gift whilst helping to protect inheritance value
Interest serviced infographic - Why servicing interest is so interesting?
- One request of up to three consecutive months in each policy year (the interest not paid will roll-up).
Ability to switch to a roll-up option later
- Your clients will be able to stop monthly payments at any time at which point the loan will convert to a full roll-up basis. If they received a reduction to the roll-up interest rate due to servicing interest, the interest rate applicable will increase. If payments are stopped, they cannot be restarted.
- Once six payments have been missed, the loan will convert to a full roll-up basis. If they received a reduction to the roll up interest rate due to servicing interest, the interest rate applicable will increase.
Green Lifetime Mortgage
- The Just For You Green Lifetime Mortgage is an innovative green feature on our new J2.5 LTV series.
- The green feature offers a lower interest rate to new applications with a valid Energy Performance Certificate (EPC) rating of A or B. Find out more here.
Comparison of features
The table below compares the interest roll-up and the interest serviced options.
Flexibility and choice for your customers
|A tax-free lump sum||Yes - minimum loan £10,000||Yes - minimum loan £20,000|
|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
|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 (youngest borrower)
|£70,000 - see our Acceptable Properties Guides for Full Valuations and Desktop Valuations|