Is Equity Release Safe?
Equity release has come a long way since the plans of the 80s and 90s which were relatively unsafe. As an industry, it is now regulated by the Financial Conduct Authority which ensures the safety of the plans on offer. Also, there is a governing body called the Equity Release Council which sets out must-have features that provide an extra safety net.
Responsible Equity Release are under the regulatory authority of the Financial Conduct and only advise on plans that adhere to the strict Equity Release Council guidelines. This way you know that equity release is safe and looks after your long-term interests.
The particular guarantees that make equity release safe are:
- No Negative Equity Guarantee – You will never owe more than the value of your home
- The right to move property – You can move the plan to a suitable property should you want to move at a later date
- The right to independent legal advice – The lenders will not make you use their solicitors on in-house legal team
- The right to clear fair presentation of the plans –
- Advice from an adviser with equity release qualifications
Of course, it is important to get financial advice when determining whether it is a good idea or not, based on your personal circumstances.
Use our free online calculator to find out how much you could release today and receive a free guide: http://www.responsibleequityrelease.co.uk/equity-release-calculator/