Two complaints about a TV advert for Age Partnership’s equity release scheme have been rejected by the Advertising Standards Agency.
The issue centered around the omission of the interest rate payable on equity release, which the complainants said was misleading.
Age Partnership’s response was that, as a broker that offers advice rather than its own product or plans, of which there are currently 374 (all having different interest rates), it could not reference a specific rate. In fact, doing so would be “inappropriate” because it would have to “take a ‘typical’ view which would involve taking an average of the hundreds of lifetime mortgage plans available, with the result that the rate quoted would not be representative of reality for the majority of viewers.”
The ASA agrees with this assessment. It says: “We considered that consumers would understand that the ad provided general information about how a lifetime mortgage worked, rather than referencing the specific terms of the product and was an illustration of the type of experience consumers may have when opting for a lifetime mortgage.”
The agency adds: “We considered that consumers would understand that interest rates for a lifetime mortgage would vary based on the plan provider chosen and an individual’s financial circumstances. Therefore, we concluded that the omission of an interest rate on a lifetime mortgage as featured in the ad was not misleading,” concluding that no further action is necessary.