Later life lender more2life has today (10th October 2024) reduced the early repayment charges (ERCs) on its Maxi range of lifetime mortgages.
more2life reduced the ERC term on the Maxi plan to seven years from 10.
The Maxi range comes with a number of key criteria highlights including: available to clients aged between 55 and 89; loan-to-values (LTVs) between 18.5% and 49.5%; loans from £15,000 to £2m; one-off lump sum, or a smaller lump sum and drawdown available, from as little as £500; partial repayment available from day one.
The product fully meets the standards of the Equity Release Council.
The Maxi Plan also offers Downsizing Protection after five years, where if the client wishes to downsize to a property outside of more2life’s criteria they can repay the loan in full without incurring ERCs.
Advisers who have an existing Maxi case with more2life are able to take advantage of the new shorter ERC upon request.
This product improvement for all Maxi options followed the launch of more2life’s Maxi Zero ERC plan last month, which is offered with zero ERCs.
Ben Waugh, managing director of more2life, said: “Earlier this year, we conducted research amongst over 300 advisers active in the later life lending space, asking them how we could improve our plans.
“85% of respondents said they wanted more flexibility from ERCs, and we believe it’s important to listen and act on what advisers and their clients want.
“This is why we’ve been able to reduce our ERCs on the Maxi range from 10 to seven years, plus, of course, we’ve also been able to launch the first-of-its-kind Maxi Zero ERC product last month.
“We’re committed to ongoing product development and innovation, and we want to ensure advisers have the product choice and options they need in order to deliver a great customer outcome each and every time.
“For those who currently have a Maxi case with us, this opportunity is also open, and advisers and their clients can access the lower ERC upon request.
“This will not be the end of our product announcements in 2024 as we seek to continue raising the bar in the later life lending space.”
