The interest rate on the fixed rate lifetime mortgage introduced by intermediaries will be reduced to 5.70 per cent (6.1 per cent APR). In addition the minimum and maximum interest rates on Norwich Union’s index-linked lifetime mortgage will reduce to 4.39 per cent and 9.61 per cent respectively.
Norwich Union is also reducing the minimum borrowing requirement for its index-linked lifetime mortgage to align minimum borrowing requirements with its fixed rate lifetime mortgage – the minimum initial loan is being reduced to £15,000 (from £25,001) and minimum additional borrowing to £5,000 (from £25,001).
Daren Carter, director of sales and marketing at Norwich Union Personal Finance, said: "Norwich Union is the leading provider of equity release products in the UK. We are constantly reviewing our funding and rates and are pleased to be able to take this opportunity to offer consumers these new lower rates on both our lifetime mortgages."
