Service update - due to planned essential maintenance our Online Service will be unavailable on Friday 28 January from 18:00 until Saturday 29 January 12:00.
Following the Bank of England’s decision to raise the Bank Rate by 0.15% to 0.25% in December 2021, Windfall Bond and Tracker Savings Bond rates increased by 0.15% from 1 January 2022. Tracker mortgages changed from 25 January and we have written to customers individually with revised payment details where the new rate exceeds the minimum rate (or ‘floor’) already applying to their mortgage. We will be considering our other savings and our variable mortgage rates after the Bank of England MPC meeting on 3 February. (Notice updated 19/01/22)
- Please note that the Premium Saver (5) has now been withdrawn from sale.
If you have opened an account, you may add funds until 3pm, 7 February 2022, after this no additions will be allowed.
Find out how the Retirement Interest-Only mortgage works and who it is suitable for
The mortgage will be secured on your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
Our Retirement Interest-Only (RIO) mortgage is Interest-Only with no set end date to repay the balance.
Designed for those aged 65 and over, it gives you the flexibility to enjoy and stay in your home until a specific life event triggers the repayment of the mortgage. Your mortgage is not repaid to us until you either move into long-term care or pass away.
How does it work?
Unlike Lifetime mortgages, our RIO mortgage does not roll up interest.
Each month you make payments which cover the interest. To give you peace of mind, we calculate your monthly payments so that when the time comes for you to repay the capital, it is only the amount you borrowed which needs to be repaid.
Who is our RIO mortgage suitable for?
A RIO mortgage may be for you if:
- Your current Interest-Only mortgage is coming to an end and you are unable to repay the capital balance, or you aren’t ready to downsize, or move into retirement accommodation.
- You want to release equity and use for your loved ones, perhaps this may be to help your children or grandchildren onto the property ladder.
- You want to release equity to make some home improvements or enhance your retirement lifestyle.
Full details of our RIO mortgage products can be found here.
For more information read our RIO mortgage frequently asked questions.
If you have further questions or are still unsure whether our RIO mortgage is for you, we are here to help. Our dedicated New Business Team will be happy to provide you with more information on our RIO mortgages.
Our Retirement Interest-Only mortgage
Our RIO mortgage is available for purchase and remortgage.
Frequently asked questions
Find answers to some of the most frequently asked Retirement Interest-Only mortgage questions.