"It is great to be able to announce this new feature on our Capital Choice Plan as we continue to work closely with our intermediaries to develop products that they and their clients really want."
more 2 life is adding fixed ERCs to its Capital Choice Plan in addition to the current 10% ERC–free partial repayment option.
This is the first time more 2 life has offered fixed ERCs on an open market product.
The Capital Choice Plan is a lump sum lifetime mortgage that offers a flexible partial capital repayment option.
The ERCs are 5% in years 1-5, 3% in years 6-10, and 0% from year 11 onwards.
Last year the lender added a Downsizing Protection feature, giving borrowers peace of mind should their property be sold and the loan repaid in full.
Dave Harris, Managing Director at more 2 life, commented: “It is great to be able to announce this new feature on our Capital Choice Plan as we continue to work closely with our intermediaries to develop products that they and their clients really want. With the equity release market growing steadily, it is important that lenders drive innovation in the sector to allow a greater number of borrowers to access the wealth currently tied up in their homes.
"Property wealth is likely to account for a significant proportion of a client’s overall wealth, so it’s crucial that retirees have a greater range of options available to them. At more 2 life we will continue to bring innovative products to the market to suit individual retirement needs and offer competitive deals for our intermediaries.”