Norwich Union announce Equity Release mortgage advertising campaign

Norwich Union has announced that they are to start a television advertising campaign this Thursday.

Equity Release mortgages which are also known as lifetime mortgages allow those over the age off 55 to borrow against the value of their home without having to make repayments. Interest is simply rolled up and added to the loan, and therefore, such plans can be a very effective way of creating extra disposable income for those who have retired asset rich but cash poor.

The adverts will be shown on all commercial terrestrial channels, and on selected satellite channels. From June, the campaign will also be joined by newspaper advertising.

Jerry Figueroa-Lee, Director and Equity Release mortgage specialist at The Mortgage Warehouse said “Whilst we welcome any activity that raises the profile of Lifetime mortgages, these are complex products. Those considering taking on such a mortgage should seek qualified and independent advice. For instance, in well over 50% of cases where a client approaches us to arrange a lump sum lifetime mortgage, we find it better suits their needs to have a plan where the equity is released slowly in stages over a period of time. As interest is only charged on the amount received, this means that interest rolls up at a much slower rate. Norwich Union do offer such an option, but with limitations.”