OneFamily - Voluntary Payment Standard - Fixed
Roll up Lifetime Mortgage
Rate: 6.13%
APR: 6.40%
Incentive Deal:
Features: FREE Valuation* | Choice of either Fixed or Variable Rate | 10 Year Fixed Early Repayment Charges | Downsizing Protection Option | 10%pa Voluntary Payments with NO Penalty

OneFamily is the product of a merger between Engage Mutual and Family Investments in 2015, creating one of the largest Mutual organisations in the UK. OneFamily is a trading name of Family Assurance Friendly Society and manages over £7.5 billion and over two million members. OneFamily currently specialises in Guaranteed over 50's Life Cover but is gradually moving into the expanding retirement arena.

The Voluntary Payment Standard Fixed offered by OneFamily is a lifetime mortgage that provides the homeowner with a fixed lifetime interest rate and a single lump payment which can spend as one wishes. The homeowner is then allowed to repay up to 10% of the initial loan amount each year without incurring any early repayment charges. This is the ideal product for any homeowner who wants to control the interest accrual on their loan, but also does not want to have to follow a strict repayment schedule, nor have any income checks to warrant the borrowing & repayments.

The Voluntary Payment Standard Fixed product provides loans ranging from a minimum of £10,000, upto a maximum release of £750,000.

To be eligible the homeowner must be between the ages of 55 and 100 at the time of completion. The product is available on both a single life and joint life basis and if borrowing jointly, the loan-to-value will be based on the age of the younger applicant.

For the property to qualify for the OneFamily Voluntary Payment plan it must have a minimum valuation of £70,000. There is no maximum property value threshold followed except any property with a valuation over £2 million must be accompanied by a referral. The property must also be located in Scotland, Wales or England.

There are several flexible features that come with this equity release mortgage. The early repayment charges are one of the most attractive features for those who maybe looking towards full repayment in the future. The penalties are fixed for the first ten years after completion of the loan advance. For years one to five, the charge is 6%. For year six to ten, the charge is 3% and after the 10th year, NO early repayment charge is levied.

One standard feature is the downsizing protection option. This facilitates the homeowner being able to repay their loan after a five-year period, if it’s a result of selling their home to move to another qualifying property. In such circumstances, OneFamily will NOT charge any early repayment charge.

The product is also portable, allowing it to be transferred to another suitable property and comes as standard with the Equity Release Council stipulated no-negative equity guarantee. This means that if the eventual sale of the home does not satisfy the outstanding loan balance, the beneficiaries of the estate are not held responsible for any remaining debt.

OneFamily do not provide this scheme as a drawdown plan and therefore no cash reserve facility is available with this Voluntary Payment product.

The OneFamily Voluntary Payment structure of this scheme is perhaps its most attractive features to homeowners, as it allows them to pay up to 10% of the initial loan borrowed every year without incurring any early repayment charge. The homeowner is allowed to make these payments immediately following loan completion and any number of payments can be made throughout the year, as long as the payments are at least the minimum amount allowed which is £25. Payments can be made via debit card, cheque, standing order, or bank transfer.

Additional borrowing is another feature available with this lifetime mortgage. To be approved for additional borrowing, the homeowner must meet the lending criteria imposed at the time of that application. The minimum amount allowed for borrowing is £4,000 and voluntary payments are also allowed against any additional borrowing balance immediately following the completion of the borrowing.

This OneFamily product is also available in a Lite version, which differs mostly in loan-to-values and interest rate. It also comes in a variable interest rate version as well. The loan-to-values for the Standard version start higher than the Lite at 21% for single life and 20% for joint life at age 55.

This OneFamily Voluntary Payment Standard Lifetime Mortgage is most attractive product for any homeowner who wants to limit the impact of interest roll-up on their loan, but also does not want to be forced to follow a strict monthly repayment schedule with additional proof of income. With this product, the homeowner is able to make payments that suit their individual budget on a non-verification method.

*Free valuation offer available on properties valued upto £1 million, pro-rata costs thereafter.


Call the Compare Equity Release team on 0800 678 5169 for further details, or to request a quotation on the One Family Voluntary Payment Standard Lifetime Mortgage (Fixed).
These are lifetime mortgages and home reversion plans. To understand their features and risks, ask for a personalised illustration.

 

  • All schemes are authorised and regulated by the FCA
  • Continued ownership of 100% of your home
  • Interest rates sourced from the whole of the market
  • Continued benefit from future house price increases
  • Special deals with incentives to save you money
  • Free initial advice with no commitment or credit checks

Sign up to receive latest news & updates from CompareEquityRelease.com

Your Email Address Here....

 

These are lifetime mortgage & home reversion plans. To understand the risk & features of these plans, request a personalised Key Facts Illustration.

CompareEquityRelease.com helps you to compare and arrange equity release schemes from the whole of the equity release market:

Aviva | Bridgewater | Hodge Lifetime | Just Retirement | LV= | more2life | One Family | Retirement Advantage | Pure Retirement L&G Crown