Cash Plus Lifetime Mortgage

Key Product Features

This product provides a MONTHLY CASH RELEASE for life with an OPTIONAL LUMP SUM.

The amount of equity your clients can release as a monthly cash payment is based upon their age, property value and any one-off Cash Lump Sum they wish to take. Please refer to the tables below which illustrate the maximum Monthly Cash Release amount available as a percentage of their property value. The amounts illustrated are based on your client not taking the option of a one-off Cash Lump Sum.

Additional Product Features

  • Minimum property value of £40,000
  • No monthly loan payments. Loan, accrued interest and charges are repaid from proceeds of property sale
  • No Early Repayment Charge under any circumstances
  • Minimum monthly cash release of £50
  • Minimum lump sum of £1,000 if taken
  • No Risk Charge is payable
  • 'No Negative Equity Guarantee'
  • Product is fully portable
  • Sheltered Accommodation will be considered. Please see product literature
  • S.H.I.P. Member

If your client wishes to take a combined MONTHLY CASH RELEASE with an OPTIONAL CASH LUMP SUM, this will alter the percentage amount they are entitled to receive as a monthly cash payment. Please refer to the tables below to calculate what Cash Lump Sum they can apply for and the impact this will have on the Monthly Cash Release percentage.

Cash Plus Example*

Mr Smith is 74 and his wife is 72. Their house is worth £200,000.

"We know how much we want as a lump sum. What would be the maximum monthly cash release we could get with it?"

Mr and Mrs Smith want a cash lump sum of £14,500, that's 7.25% of their home's total value.

It should be rounded up (in every case) to the nearest full % i.e. 8%. This would then entitle them to a maximum monthly cash release of 0.20% of their home's total value - which makes £400 per month i.e. £200,000 x 0.20% = £400.

Or, they can choose any amount between £50 and that maximum figure.

Percentage Lump Sum Release (%) Percentage Monthly Cash Release (%)
Age Band
60-66 67-71 72-76 77-79 80-84 85-88 89+
0 0.13 0.20 0.30 0.45 0.60 0.90 1.20
1 0.12 0.19 0.28 0.43 0.58 0.87 1.17
2 0.11 0.18 0.27 0.42 0.56 0.85 1.15
3 0.10 0.17 0.26 0.40 0.55 0.83 1.12
4 0.09 0.16 0.25 0.39 0.53 0.81 1.10
5 0.09 0.15 0.24 0.37 0.52 0.79 1.08
6 0.08 0.14 0.22 0.36 0.50 0.77 1.05
7 0.07 0.13 0.21 0.34 0.49 0.75 1.03
*8 0.06 0.12 0.20 0.33 0.47 0.73 1.00
9 0.05 0.11 0.19 0.32 0.45 0.71 0.98
10 0.04 0.10 0.18 0.30 0.44 0.69 0.96
11 0.03 0.09 0.17 0.29 0.42 0.67 0.93
12 0.02 0.08 0.15 0.27 0.41 0.65 0.91
13 0.02 0.07 0.14 0.26 0.39 0.63 0.88
14 0.01 0.06 0.13 0.24 0.38 0.61 0.86
15   0.05 0.12 0.23 0.36 0.59 0.84
16   0.04 0.11 0.22 0.34 0.57 0.81
17   0.03 0.10 0.20 0.33 0.55 0.79
18   0.02 0.08 0.19 0.31 0.53 0.76
19   0.01 0.07 0.17 0.30 0.51 0.74
20     0.06 0.16 0.28 0.49 0.72
21     0.05 0.14 0.27 0.47 0.69
22     0.04 0.13 0.25 0.45 0.67
23     0.03 0.12 0.23 0.43 0.64
24     0.01 0.10 0.22 0.41 0.62
25       0.09 0.20 0.39 0.60
26       0.07 0.19 0.37 0.57
27       0.06 0.17 0.35 0.55
28       0.04 0.16 0.33 0.52
29       0.03 0.14 0.31 0.50
30       0.02 0.12 0.29 0.48
31         0.11 0.27 0.45
32         0.09 0.25 0.43
33         0.08 0.23 0.40
34         0.06 0.21 0.38
35         0.05 0.19 0.36
36         0.03 0.17 0.33
37         0.01 0.15 0.31
38           0.13 0.28
39           0.11 0.26
40           0.09 0.24
41           0.07 0.21
42           0.05 0.19
43           0.03 0.16
44           0.01 0.14
45             0.12
46             0.09
47             0.07
48             0.04
49             0.02
50             0.01

Lifetime Mortgages

CASH PLUS LUMP SUM LIFETIME MORTGAGES
Lump Sum only
Product Rate Early Repayment Charge Product Fee
Cash Plus Fixed Rate Lifetime Mortgage
Monthly Cash Release
with optional Lump Sum		 6.59% None £595
Lump Sum Cash Release Amounts
Relating to Lump Sum Only products
Age of youngest applicant Maximum % Release Age of youngest applicant Maximum % Release Age of youngest applicant Maximum % Release
6020%7030%8040%
6121%7131%8141%
6222%7232%8242%
6323%7333%8343%
6424%7434%8444%
6525%7535%8545%
6626%7636%8646%
6727%7737%8747%
6828%7838%8848%
6929%7939%8949%
90+50%

Please note, for Monthly Cash Release amounts or a combination of both, please click here to see table

We will consider Sheltered Accomodation, subject to criteria, please ask for details.
For Sheltered Accomodation, the above Lump Sum Release amounts will be reduced by 5%, no restrictions apply for Cash Plus products.

© Northern Rock plc. 2008