We have launched interest only retirement mortgages aimed at retired borrowers who are looking to release equity from their homes.

Applicants can borrow a lump sum against the value of their homes and each month pay only the interest, usually from pension income. This means that the outstanding loan does not reduce, but instead is repaid from the sale of the property either when the borrower dies or moves into alternative accommodation.

Ian Keeling, our Head of Sales and Marketing, said "We developed these products to meet a rising demand that we have experienced. High house prices have left many people asset rich, however they may not have much money saved to do the things they want to do. Selling and down-sizing is an option, however people are often settled in their homes and do not want to move as this can mean leaving networks of friends and family behind.”

Two new products have been launched, both with a five year discount from the our standard variable mortgage rate for the first five years. Neither product has an arrangement fee or any early repayment charges, however one benefits from a higher initial discount and is available only to applicants that have registered a Lasting Power of Attorney (LPA).

“An LPA is a legal tool that allows you to appoint someone to make certain decisions on your behalf. The appointed person can manage your finances for you in the future if you reach a point where you are no longer able to make decisions for yourself” said Ian.

For more information visit click here, or call the Society on 0161 429 6262.

Head office:

Vernon Building Society
19 St Petersgate
Stockport
SK1 1HF

Tel: 0161 429 6262
Fax: 0161 477 3303
Email: info@thevernon.co.uk

Telephone calls are recorded and may be monitored for regulatory and training purposes to help maintain service quality.

*The 'AER' stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

Vernon Building Society is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority (registration number 195475).  You can check this on the Financial Services Register. We are also a participant of the Financial Services Compensation Scheme (FSCS). Details of the scheme can be obtained from www.fscs.org.uk

Telephone calls are recorded and may be monitored for regulatory and training purposes to help maintain service quality.

For independent information about financial products and services visit  www.moneyadviceservice.org.uk

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