Even if you are just beginning to explore what Equity Release (ER) could do for you, it is essential that you get all the correct facts – and to do this you will need to take professional advice from an Equity Release Adviser.
And, should you then decide to go ahead and apply for ER, you will have to go through a fully advised process.
Unlike most other financial products, ER is not available without advice. You cannot apply directly to a lender. Only an ER adviser can do this for you. Therefore, it is important to be comfortable with your choice of adviser as they will be guiding you through the whole process.
ER advisers come in different forms
When approaching advisers, you will find that some work only for one lender, or for a small panel of lenders.
Others, like me, are Independent Advisers – with access to the whole market.
Whichever type of adviser you choose, the process of applying for ER should be identical – however the result will not always be the same.
Advisers who work from a restricted panel purport to be giving ‘advice representative of the whole market’, but of course that cannot be the case.But, with the broadest access to the market, only an Independent Adviser can look at a multitude of different ER loans.
A lot of these loans will be very similar, with only minor differences – but these are the subtleties that enable an Independent Adviser to find the product that best meets your very individual needs. You shouldn’t be left wondering if you could have got a better deal!
Plan ahead
- Make sure that your adviser is a member of the Equity Release Council (www.equityreleasecouncil.com). It promotes high standards of conduct and practice, with the consumer at its heart.
- Know what to expect of the process: your adviser should provide tailored recommendations, a personal Key Facts Illustration, and Initial Disclosure Document summarising all the important details and costs involved in taking out your plan.
- Further on in the application process, you will also need the services of a solicitor, and your adviser should be able to help you find someone who specialises in this area of finance. The Equity Release Council’s website (www.equityreleasecouncil.com) has a section explaining the application process step by step.
- Have financial and household insurance paperwork to hand – this will form an important part of your discussion with your adviser as they review your personal circumstances and ensure that ER really is the most suitable option for you.
Patience is a virtue
The fact that ER is only available following a fully advised process reflects how important it is not to rush into a decision.
Allow at least an hour for your first meeting with your adviser. You are bound to have many questions, and your adviser should have allowed plenty of time to talk these through – so don’t worry that you could be holding them up.
A good adviser will have the patience of a saint and will expect to go over some points many times to help you fully grasp the facts. You certainly shouldn’t leave the meeting with more questions than you started with.
For an initial informal conversation, please do not hesitate to get in touch. mwade@accessequityrelease.com; 020 3840 5011
