All you need to know about equity release

Transcription

1 All you need to know about equity release The Age UK Equity Release Advice Service is provided by Just Retirement Solutions Limited. Registered office: Vale House, Roebuck Close, Bancroft Road, Reigate, Surrey RH2 7RU. Registered in England Number Just Retirement Solutions Limited is authorised and regulated by the Financial Conduct Authority. Please note your call may be monitored and recorded. Age UK is a registered trademark of Age UK (charity no ). The use of the name and logo Age UK is done so under a licence agreement between Age UK and Age UK Enterprises Limited, its commercial arm and part of the Age UK Group. Registered in England and Wales no Registered office: Registered office: Tavis House, 1-6 Tavistock Square, London WC1H 9NA. Age UK Enterprises Limited receives commission from Just Retirement Solutions Limited of up to 0.75% of the amount advanced under each equity release plan sold, plus a contribution towards marketing support. Surplus net profits raised by Age UK Enterprises Limited from commission are donated to Age UK the Charity

2 How equity release could help you make the most of your retirement For no obligation advice: call

3 Why equity release could be right for you Everyone has a vision of their perfect retirement our purpose at the Age UK Equity Release Advice Service provided by Just Retirement Solutions is to help that vision become a reality. Few would disagree that extra cash in your retirement could come in handy; equity release allows you to free up cash from the value of your home without the stress of having to sell up and move. In fact there are a number of ways it could help: Top five reasons Age UK customers take out equity release for All our advisers are qualified specialists in equity release and are there to put your needs first. If equity release is not right for you, our adviser will clearly state the reasons why and identify other options for you. If it is right for you, they will provide you with a personalised illustration and recommend a plan suitable for your circumstances. This illustration will show you how much cash you can expect to release and highlight the features and risks of the plan. What s more, our adviser will provide a full analysis of your state benefits and ensure that you re claiming the maximum available. They will also tell you the effect releasing equity will have on your current entitlement, if any. 1 Clearing mortgage 2 Home improvements 3 Clearing debt* 4 Gift for family 5 Holiday * Think carefully before securing other debts against your home. JRS customer research, July 2013 to June 2014 Whatever the purpose, it s important to remember that equity release is a lifelong commitment, so there are certain issues to think about: Will your current level of income keep up with inflation? Will your savings or investments meet future requirements such as private healthcare? What would happen financially if you or your spouse became ill or died? Could you leave behind cash for your family and if so how much? Equity release may involve a lifetime mortgage or a home reversion plan. To understand the features and risks, ask for a personalised illustration. Equity release may not be right for everyone. It may affect your entitlement to state benefits and will reduce the value of your estate. If you decide to take out a plan, there will be a fee of 675 for advice and arranging an equity release plan Just Retirement Solutions recommend. You will only be charged if you decide to take out a plan. This specialist advice carries no obligation. Case study Mr and Mrs H s story Mr and Mrs H from Wigan contacted the Age UK Equity Release Advice Service wanting to know whether equity release could help them in retirement. After looking at their circumstances, we understood that Mr and Mrs H wanted to raise funds for some home improvement. We would say it was excellent. Our adviser went through every detail with us. There was nothing that we felt she didn t cover. Our adviser was able to recommend Mr and Mrs H a product which provided an initial lump sum of 25,000 with an additional amount available when required. We know we have a good home and at our time of life we know we can enjoy it, simply because of the equity release from the Age UK Equity Release Advice Service provided by Just Retirement Solutions. Mr and Mrs H, Wigan This has allowed them to replace their furniture, fixtures and fittings inside and outside of the house and carry out some maintenance work. Impressed with the standard of the service they received, Mr and Mrs H said: Equity release has helped us to feel more relaxed. We know we have the money for future purchases that we may need. We have a good home and at our time of life we know we can enjoy it, simply because of the equity release from the Age UK Equity Release Advice Service provided by Just Retirement Solutions. 2 3

4 Why choose Just Retirement Solutions? We are specialists in the retirement market and we want it to remain that way. We value our customer service and our aim is to positively transform our customers lives in retirement. We have been offering advice to customers since launching in 2006, and have helped thousands of customers decide whether equity release is right for them. Apart from our own high standards, we work as a member of the Equity Release Council (the industry body for the equity release sector) which has been established to ensure that customers can be confident that their best interests are protected. For further information visit We are authorised and regulated by the Financial Conduct Authority. For no obligation advice: call The call centre opening hours are 9am-6pm, Monday to Friday. Calls are charged at local rates and may be monitored and recorded for training purposes. ageukappointments@justretirement.com The Age UK Equity Release Advice Service is provided by Just Retirement Solutions Limited. Registered office: Vale House, Roebuck Close, Bancroft Road, Reigate, Surrey RH2 7RU. Registered in England Number Just Retirement Solutions Limited is authorised and regulated by the Financial Conduct Authority. Please note your call may be monitored and recorded. Age UK is a registered trademark of Age UK (charity no ). The use of the name and logo Age UK is done so under a licence agreement between Age UK and Age UK Enterprises Limited, its commercial arm and part of the Age UK Group. Registered in England and Wales no Registered office: Registered office: Tavis House, 1-6 Tavistock Square, London WC1H 9NA. Age UK Enterprises Limited receives commission from Just Retirement Solutions Limited of up to 0.75% of the amount advanced under each equity release plan sold, plus a contribution towards marketing support. Surplus net profits raised by Age UK Enterprises Limited from commission are donated to Age UK the Charity. 4 10/

5 Helping us to help you Budget planner To help us fully understand your current requirements, it would be helpful if you could consider the questions below and complete the information as fully as possible before your appointment. Financial details Applicant 1 Name: In addition to the needs you have already expressed, it can be helpful to understand your potential future needs or wishes you have for your retirement. The table below may help you in identifying these. Financial details Applicant 2 Name: Income (after tax) Applicant 1 Applicant 2 Joint (if applicable) Earned income Pension (State) Pension (other) Investment income Investment withdrawals Nursing Care Contribution Rental income Other (specify in notes section) State benefits (other than State pension) Total income Total net joint income (if different) Details of benefits received due to disability Applicant 1 Applicant 2 Disability Living Allowance Care level Disability Living Allowance Care amount Disability Living Allowance Mobility level Disability Living Allowance Mobility amount Attendance Allowance level Attendance Allowance amount

6 Detail means tested benefits Applicant 1 Applicant 2 Guaranteed Pension Credit (GPC) amount Savings Pension Credit (SPC) amount Council Tax Reduction (CTR) amount What is your full Council tax bill? (Remember to alter for single occupancy) Are you in receipt of other benefits? (If yes please provide details) Benefit name: Benefit amount: Frequency (please tick) Expenditure (per month) Total Future expenditure / need Amount Timescale Mortgage Rent / service charge / ground rent Credit cards Loans / hire purchase agreements Council Tax (inc Benefits) Water rates Electricity / gas / other heating costs Telephone / mobile telephone / internet Household (food and toiletries) Television (Sky TV etc) Furniture / repairs and maintenance Clothing / footwear Children / Grandchildren Travel costs (car fuel / bus / taxi) House insurance Other insurances (eg. pet / life / pension / health) Leisure / recreation / holidays Other (eg. smoking / socialising) Total monthly expenditure Net monthly income Net monthly surplus / shortfall Higher income required Home improvements (eg. conservatory) Home maintenance (eg. new boiler) Leisure (eg. holidays) Supporting your family (eg. house deposit) Health (eg. residential care / hip replacement) Capital expenditure (eg. new car) Wills / Power of Attorney Other please specify

7 The Age UK Equity Release Advice Service a step by step guide Step one You will receive an information pack from us. Your pack includes information on how equity release may help you achieve your goals, the various plans available and things you should consider. Step two An initial appointment is booked for you with your specialist adviser. You will receive a budget planner to help plan your outgoings. When completing your budget planner, please think about your current expenditure and future needs, such as home maintenance or improvements, supplementary income, health needs, help for your family or even major expenditure such as a new car. Step three Your adviser will contact you to check everything is in order and to confirm the appointment. At your appointment, you will be able to discuss your goals and requirements with your adviser. Your appointment also enables you to consider all the options, look at alternatives and receive answers to your questions. Step four Your adviser will review your objectives and requirements and build a report based on these. Step five Your adviser will be in regular contact with you to answer any questions you may have and to arrange a further appointment with you. Step six At your next appointment your adviser will present their recommendations. If you feel comfortable and want to go ahead, you complete your application. Equity release may involve a lifetime mortgage or a home reversion plan. To understand the features and risks, ask for a personalised illustration. For more information please call or ageukappointments@justretirement.com The Age UK Equity Release Advice Service is provided by Just Retirement Solutions. If you decide to take out a plan, there will be a fee of 675 for advice and arranging an equity release plan Just Retirement Solutions recommend. You will only be charged if you decide to take out a plan. This specialist advice carries no obligation.

8 Questions to ask your adviser Notes The Age UK Equity Release Advice Service is provided by Just Retirement Solutions Limited. Registered office: Vale House, Roebuck Close, Bancroft Road, Reigate, Surrey RH2 7RU. Registered in England Number Just Retirement Solutions Limited is authorised and regulated by the Financial Conduct Authority. Please note your call may be monitored and recorded. Age UK is a registered trademark of Age UK (charity no ). The use of the name and logo Age UK is done so under a licence agreement between Age UK and Age UK Enterprises Limited, its commercial arm and part of the Age UK Group. Registered in England and Wales no Registered office: Registered office: Tavis House, 1-6 Tavistock Square, London WC1H 9NA. Age UK Enterprises Limited receives commission from Just Retirement Solutions Limited of up to 0.75% of the amount advanced under each equity release plan sold, plus a contribution towards marketing support. Surplus net profits raised by Age UK Enterprises Limited from commission are donated to Age UK the Charity /2014