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Catch up with the latest press releases from LV=

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LV= Enhances Lifetime Mortgage Products

Press release: 15/01/2009


Retirement specialist LV= has further enhanced its range of lifetime mortgage products by adopting an age-banded system to calculate interest rates.

The move to more tailored rates means that we are able to offer more attractive terms to many lifetime mortgage customers.


Flexible Lifetime Mortgage

The Flexible Lifetime Mortgage rates now start at 6.29% for homeowners aged between 60 and 65 years, a decrease of 0.40%. For this age range the overall cost for comparison is now 6.40% APR, down from 6.90% APR previously. The new rates remain fixed for the lifetime of the loan, meaning that customers are set to save a considerable sum of money over the loan period.

The following table details the new age-banded interest rates for the Flexible Lifetime Mortgage:

60 - 65

6.29%

6.40%

6.12%

66 - 70

6.34%

6.50%

6.16%

71 - 75

6.44%

6.60%

6.26%

76 - 80

6.59%

6.70%

6.40%

81 - 85

6.74%

6.90%

6.54%

86 +

6.88%

7.00%

6.67%


Lump Sum Lifetime Mortgage

On the Lump Sum Lifetime Mortgage interest rates now start at 5.95% for customers aged between 60 and 65 years, a drop of 0.44%, with the overall cost for comparison at 6.1% APR.

The following table details the new age-banded interest rates for the Lump Sum Lifetime Mortgage:

Age Band

AER (fixed)

APR*

Monthly Equivalent

60 - 65

5.95%

6.10%

5.79%

66 - 70

6.06%

6.20%

5.90%

71 - 75

6.17%

6.30%

6.00%

76 - 80

6.28%

6.40%

6.11%

81 - 85

6.39%

6.50%

6.21%

86 +

6.49%

6.60%

6.30%


Vanessa Owen, Head of Equity Release at LV= commented:

"It is a great opportunity to start 2009 through making our Lifetime Mortgage products even more attractive for both customers and financial advisers. We understand that the current economic downturn, along with falling house prices, is influencing the increasing number of older people choosing to stay in their homes longer, as opposed to downsizing into a smaller property. For those who consider equity release a viable solution to help maintain a comfortable lifestyle in retirement and fulfil their aspirations, our new age-banded interest rates will help these homeowners get some of the best deals on the market."

LV= is a member of the Safe Home Income Plans (SHIP) body.

For more information about the award-winning** Lifetime Mortgage products from LV=, as well as its full range of retirement products and solutions available, financial advisers can visit: www.lvadviser.co.uk.


*Example used to calculate APR is a single female with a property value of £200,000, loan amount of £70,000 and total fees of £1,133.

** Best Equity Release Provider, ‘Your Mortgage' Awards 2008.



About LV=

  • LV= is a registered trade mark of Liverpool Victoria Friendly Society Limited (LVFS) and a trading style of the Liverpool Victoria group of companies. The new LV= brand identity was launched in March 2007.

  • LV= employs over 3,500 people, serves more than 2.5 million customers and members, and manages around £8 billion on their behalf. We are also the UK's largest friendly society (Association of Friendly Societies Key Statistics 2008. Total net assets) and a leading mutual financial services provider.

  • LVFS is authorised and regulated by the Financial Services Authority register number 110035. LVFS is a member of the ABI, AMI, AFS and ILAG. Registered address: County Gates, Bournemouth BH1 2NF.