GE Life has lowered its lifetime mortgage interest rate from 6.09% to 5.95%.
It is also set to reinstate its cash back facility, whereby all customers, irrespective of the size of the loan, or who their financial adviser is, will receive a 250 tax-free cashback on completion of their equity release lifetime mortgage.
Simon Little, marketing and product manager for GE Life, says: “This is an exciting yet challenging time for advisers, providers and everyone involved in equity release.
“Our ‘State of Retirement Report’ found that nearly one in four (39%) of those five years from their retirement would consider releasing equity from their home, showing the potentially huge market that is out there.
“However we must be careful to treat customers fairly and to offer them the best service and products possible.
“At GE Life we believe in very high standards of practice and sympathise with the findings of the FSAs recent mystery shopper report.’
“We feel we have the capacity to lower our rates once again and provide even better value for equity release customers especially for those consumers on the verge of considering equity release, so they can see that such products represent value for money.”