Why choose Lifestyle Flexible Option for your clients?
Many clients enjoy the freedom and cost-effectiveness our Lifestyle Flexible Option affords them.
As well as receiving an initial lump sum (of £10,000 or more), it allows your client to set up a cash reserve (minimum £5,000), which they can draw money from when they need it. Choosing this type of plan could be more cost-effective than taking a single lump sum as your client only pays interest on the cash they draw down.
Your client continues to own their home, and they can live in it until they die or move into long-term care, subject to our terms and conditions. Interest builds up through the life of the mortgage and is charged on the amount borrowed and interest already added, which can quickly increase the amount owed. In the case of joint lifetime mortgages this applies to both partners. They don’t have to pay tax on the amount they release, but it may affect their tax position and eligibility for certain welfare benefits.