Daily Mail

Couple to save £147,000 after swap

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CAROL and David Owen will save £147,000 in interest over the next 11 years after a Money Mail article prompted them to switch equity release deals in April.

The couple took out a £60,000 loan against their £241,000 four-bedroom house in Hampshire at a 7.22pc rate with Pure Retirement in 2002. They used it to pay for trips to New Zealand, for their daughter’s wedding, and Australia, to see David’s family.

They borrowed £12,000 more for ‘a holiday of a lifetime’ to both countries three years later.

The value of their home has more than doubled to £500,000 since they bought it, but their £72,000 debt has ballooned to £262,000. And equity release rates have also fallen from 7 pc to under 3pc. Yet Carol, 78, and David, 85, never heard from their adviser after the initial loan was arranged so did not know they could switch until they contacted Age Partnershi­p in April.

They have now found they can move to a 3.45pc deal with More2Life with no early-exit penalty. ‘I had no idea we could switch or I would have done it years ago,’ says Carol who used to own a dog boarding business. ‘I’ve halved my rate and that’s wonderful.’

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