View more on these topics

Pru introduces sales team for lifetime mortgages

Prudebtial will introduce a sales team for lifetime mortgages to visit clients at home from October 2006.

This new sales team complements Prus existing direct and adviser sales channels, providing the customer with the choice of how they wish to deal with it.

Initially, a team of 20 people will be recruited this year to visit prospective clients at home and offer specialist advice on Prus lifetime mortgage product.

Its expected that the number of advisers will rise further in 2007 subject to customer demand.

Pru says with an increasing number of people saying they will need to supplement their retirement income, and around 12.9 million people saying they will be relying on their property to do this, the market is set to grow.

Datamonitor forecasts that by 2020 the total amount of equity the current 50-60 year olds will have in their property will be around 1.43 trillion.

Recent figures from the UK equity release industry body, Safe Home Income Plans, also illustrate the growing popularity of equity release, with total value of new business written increasing to 262.8m in the first half of 20062.

Nick Prettejohn, chief executive for Prudential UK, says: This is an exciting time for the lifetime mortgage business.

More providers, greater innovation and more choice are all good news for customers: however, there is a genuine concern that access to expert face-to-face advice is increasingly difficult to find.

The FSA findings of its mystery shopping exercise announced in mid-July underline the importance of consumers getting the right advice.

We already provide extensive support for financial advisers to help educate them on the issues surrounding lifetime mortgages and this will continue.

We are also pleased to be sponsoring Key Retirements new Lifetime Advisory Service which will provide much needed adviser education and training on equity release and will be a key driver in increasing the number of competent advisers in the marketplace.

Our own research has shown, however, that face-to-face advice resonates strongly with customers.

Extending our commitment to allow customers access to qualified Prudential advisers who can visit and talk to people in their own home, at times and in surroundings they are comfortable with, is a logical progression for our business.

The addition of this new team is a welcome one as, in a small way, it revives the heritage of the the Man from the Pru and extends our ability to provide services in a way, and at a time, that suits our customers.

While theres no question well see a return to the size and scale of Prus previous direct sales force, I do expect to see it growing from the initial size of 20 during next year.

Recommended

GE Life launches equity release guide

GE Life has launched a new guide to equity release, aimed at both consumers, their families and financial advisers. Four in ten people retiring in the next five years say they will seriously consider equity release as a method of boosting their retirement income, GE Lifes State of Retirement Report has shows.The guide is designed […]

PMS appoints edeus to its lender panel

Edeus received a massive vote of confidence last week with its appointment to Premier Mortgage Service’s panel of lenders two months before it even launches.PMS is the UK’s largest mortgage club for mortgage brokers, with a panel of 58 lenders. It has completed a massive 107bn of mortgage business since its launch in January 1997 […]

Property returns lead equities

Resolution Asset Management says that despite some commentators’ concerns of a property market downturn, for the year to date property is ahead of both equities and gilts.

SMS offers reduced cost Equifax credit reports

Solent Mortgage Services, the national branded mortgage arranger, is offering intermediaries and their customers access to Equifax online credit reports at a 34% discount to the standard cost. For 8.25, clients of SMS introducers can obtain their complete file, including details of credit accounts held, CCJs, arrears and IVAs and without leaving a footprint on […]

Abe and Modi

India: Modi, reform and the oil price fall

Nearly 12 months since sweeping to power, prime minister Narendra Modi has overseen a significant turnaround in India, which is now on track to become one of the most pro-growth, pro-investment economies in Asia. While the market has rallied 48 per cent over the last year in response to Modi’s reform agenda, what is the potential for further progress?

Newsletter

News and expert analysis straight to your inbox

Sign up