Canada Life has launched a new range of interest serviced lifetime mortgage products designed to give customers greater choice in retirement.
The Advantage range offers customers a discounted rate when they commit to making regular monthly interest payments. Customers can choose to service 25%, 50%, 75% or 100% of their monthly interest, with the rate discount increasing in line with the percentage selected.
Canada Life said its products come with a range of features offering customers flexibility and protection throughout the duration of their lifetime mortgage.
These include the ability to make additional voluntary repayments; protection from an early repayment charge if the customer decides to downsize after three years; an early repayment waiver for joint borrowers; and an inheritance protection guarantee, which means customers can protect a percentage of the property’s future value which can be passed to them or their beneficiaries when their property is sold, regardless of how much is outstanding on the loan.
Pete Maddern, managing director, retirement at Canada Life, said: “The Advantage range has been designed to give customers greater choice and the opportunity to benefit from discounted rates. By rewarding those who choose to service a portion of their interest, we’re enabling customers to take more control over the total cost of their borrowing and make meaningful savings over the life of their loan.
“As property wealth becomes an increasingly important pillar of retirement planning, Advantage offers a way for customers to unlock value from their homes whilst retaining vital protections.”
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