Lending into Retirement Factsheet

Where capital raising takes place – We need to make you aware that because you are releasing capital this may affect your entitlement to any means- tested benefits you currently receive or those you may receive in the future. This could affect your tax position. If you are unsure then you can speak to the Pension service, HM Revenue & Customs, or Citizens advice bureau to establish your position. 

Where the term exceeds 85th birthday for any borrower – It is possible that the mortgage may exceed the average life expectancy it is therefore important for us to make you aware that the debt may not be reduced at all if you don’t live to the end of the mortgage term.

Legal Advice if applicant/s will exceed 80 at the end of the mortgage term

Sole applicant (only if aged 80 and above at application) – we need you to meet with a solicitor face to face to receive independent legal advice to ensure you understand the responsibility and commitment you are making.

Any Joint application – you will need to see a separate solicitor for independent legal advice. This is to ensure you both understand the responsibility and potential implications if income was reduced due to ill health or bereavement during the mortgage term. You must each confirm individually that you accept the risks and are willing for the loan to be made. There will be costs for this advice and you should obtain quotes. The advice must be given by a solicitor who is not involved in the purchase/conveyancing of your property.

Where downsizing is mentioned for the sole survivor – ask will there be sufficient equity for you to be able to complete this mortgage free? 

•              We may ask for examples to be provided for the application