Across Stonehaven's lifetime product range a 5% ERC charge will be incurred for the first five years, this will fall to 3% from six to eight years and finally there will be no charge after nine years.
The cash reserve facility will allow clients to withdraw money without seeking advice, while customers also will have the option of servicing the interest.
Robert Sharpe, executive chairman at Stonehaven, said: “We have listened to advisers and customers, conducting research where they have told us they want greater simplicity and certainty.
“This is our response. It is the most flexible product of its type on the market and combined with our rates which are among the best out there, it offers people real peace of mind.
“More and more advisers are gaining the qualifications needed to add equity release to their service offering, and this product is a big step forward in making that offering even more compelling.”
He added: "When I joined Stonehaven in December, we set out to become the market leader in equity release.
“The launch of these new products is proof of our commitment to constantly improve the options available to consumers, making equity release as attractive a prospect as possible for advisers to offer and consumers to buy.
“This is a rapidly growing market and with house prices continuing to rise and an ageing population, the ranks of equity release adopters is set to swell still further. These are exciting times.”