Regular Cash Release

Interest rates

  Age 55 - 69 Age 70 - 74 Age 75+
Regular Cash Release 6.60% 7.0% 7.20%

The Regular Cash Release product has been designed for clients who see a regular need for cash across any period up to the next 10 years, and who want to fix the interest rate that will be applied. Cash payments can be received monthly, or every 3, 6 or 12 months. If your client's case completes on or before the 15th of the month, their first payment will be received by the 3rd working day of the following month. If however, their loan completes after the 15th of the month, their first payment will be received by the 3rd working day of the month after the month after completion.

Once the Regular Cash Release has been set up, the rate of interest charged remains the same throughout the whole period, with interest only ever being charged on the money released to your client.

Again, no monthly payments are required and the loan plus accrued interest and charges is repaid when the house is sold.

Please also note, if there is a mortgage outstanding on the property then we recommend that you combine this Regular Cash Release with a lump sum product to ensure that the initial advance is large enough to cover settlement of the existing mortgage (see Build Your Own product).

Regular Cash Release LTVs
Age 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72
Max LTV available (%) 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32

Age 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90
Max LTV available (%) 33 34 35 35 35 35 35 35 35 35 35 35 35 35 35 35 35 35

Exceptions:

The LTV may be adjusted in certain circumstances, such as sheltered accommodation or non-standard construction types.

Go to our Maximum Loan Calculator to find the maximum amount your client can borrow and the interest rate they will be charged.

Other information

Applicants

1. Minimum age (for the younger borrower)

55

2. Maximum age (for the younger borrower)

90

3. Status

Available on both single or joint-life basis. Joint borrowers do not need to be married and may be of the same sex. If the property is in joint names then both owners must apply for the loan.

Property

4. Location

England or Wales

5. Minimum property value

£70,000

6. Maximum property value

Maximum value of £2m in Greater London & SE, or £1m elsewhere (may be exceptions)

7. Type

See our Lending Policy.

Cash advances

8. Minimum advance

Total amount advanced over the set period must exceed £20,000

9. Maximum advance

Total amount advanced over the set period must be less than £500,000

10. Further cash advance frequency

Payments can be received every 1,3,6 months or annually

Stopping regular cash payments

If your client's circumstances change and they want to stop receiving the receiving the regular cash payments, then they can cancel the arrangement, as long as the amount they have received exceeds £20,000. If, however, they cancel for reasons other than death of a partner or move into long-term care (circumstances which may affect their entitlement to state benefits), then they may be charged an early repayment charge.

Charges

See 'Our Costs'

Protected Equity Option

With all Stonehaven Lifetime Mortgages your client can choose to protect a percentage of the eventual sale value of their home. The No Negative Equity Guarantee and the amount that Stonehaven will lend are based on the value of the unprotected portion of the property.

If, in the future, your client wants to reduce the amount of equity protected in order to apply for further borrowing, then the following should happen:

  • If your client originally took out a regular cash release and protected some of their equity, they must apply for additional borrowing through their financial adviser. Stonehaven will not charge for reducing the protected equity option, however the normal charges and conditions associated with additional borrowing will apply.

Please note that the above scenario may impact your client's beneficiaries and the implications should be explained to your client.