View more on these topics

Lack of independent legal advice fuels equity release mis-selling

Thousands of retired homeowners could have been mis-sold equity release plans by companies that do not require clients to seek independent legal advice, says Key Retirement Solutions.

KRS says before purchasing an equity release plan, it is vital for consumers to obtain advice from an independent solicitor who is working solely for them. KRS warns companies that do not insist on this may be liable for mis-selling charges in the future.

Colin Taylor, managing director of KRS, says: “Taking out an equity release scheme can bring enormous benefits to people&#39s lives, but it is vital that they have a complete understanding of how it will affect all areas of their life before they proceed.

“Taking legal means other aspects such as estate planning are also considered. When we advise a customer on a particular scheme we insist that two independent solicitors are involved to ensure complete impartiality.”

Claire Belringer, associate solicitor and equity release team manager at Cheltenham-based Rickerbys Solicitors, says: “Clients should consult a solicitor who is familiar with equity release to advise them. This can save weeks or, in some cases, even months from the start of proceedings to obtaining the cheque. Taking out an equity release scheme can also affect other areas, such as will making and entitlement to benefits, so it is vital to consult your solicitor.”


Bleak Christmas for debtors

Thousands of consumers in the UK face the prospect of a bleak Christmas and new year as the equity in their homes is eaten away by personal debts that are spiralling out of control, Opus Mortgages warns. Alarming evidence collated from the mortgage and secured loan applications of 2,000 consumers in the UK reveals that […]

Destini buys two more IFA firms

Destini Financial Services has purchased two more large IFA firms &#45 Applewood Associates, one of Sesame&#39s largest IFAs and Essex, and Kettering-based Bervale Mead financial consultants. This brings the number of IFAs taken over by Destini to 11 over the last 12 months. Both purchases were made for a mixture of cash and Destini shares. […]

Amber Homloans appoints business manager

Amber Homeloans has appointed Louise Lord as its business manager. Lord will be responsible for key areas in the control, development and growth of new business. These include new product launches, reviewing existing documentation and assessment of new business referrals. Lord joins Amber with six years experience of the lending industry with Skipton. Roles included […]

AMI seeks local chairmen

The Association of Mortgage Intermediaries is encouraging brokers to apply to become regional chairmen of the trade body as part of its plan to set up a local branch structure. In its next stage of development AMI plans to set up a regional structure and as part the process the body is seeking intermediaries who […]

Life cover for life

When someone mentions whole of life plans, most people will think of a niche product that serves as an inheritance tax planning tool for high-net-worth clients. And it’s really not surprising they’ve been pigeonholed in that waybecause before the arrival of RDR in 2013, that’s more or less exactly what they were. For advisers thinking […]


News and expert analysis straight to your inbox

Sign up