Norwich Union is increasing the fixed interest rates on its equity release Flexible Cash Release Plan with effect from 24 November 2003.
Norwich Union is increasing the fixed interest rates on its equity release Flexible Cash Release Plan with effect from 24 November 2003. The interest rate will increase from 7.15% to 7.35% for business introduced through IFAs and from 7.29% to 7.49% for business that comes direct to Norwich Union.
The Flexible Cash Release Plan is a mortgage-based equity release product.
Paul Stokes, head of equity release marketing at Norwich Union, said:
"Equity release plans provide a solution for many elderly people who have no other way of generating a cash lump sum and want to stay in their own home. The product is in essence a lifetime fixed-rate mortgage. As long-term interest rates are moving upwards (and therefore the costs to Norwich Union of raising funds through the money markets), so is the cost to consumers.
"This increased cost has been absorbed by Norwich Union in recent weeks but we now unfortunately have to pass on the increase in rates to new borrowers."
-ends-
Press office contact:
James Evans – 01904 452791 / 07790 487105
Notes for editors
- Minimum property values apply. Equity release is a lifetime loan secured against your home. CHECK THAT THIS MORTGAGE MEETS YOUR NEEDS IF YOU WANT TO MOVE OR YOU WANT YOUR FAMILY TO INHERIT IT. IF YOU ARE IN DOUBT, SEEK INDEPENDENT ADVICE. A personal illustration and full terms and conditions are available on request. Norwich Union equity release limited No. 3286484. Registered at 2 Rougier Street, York YO90 1UU. Not available in Northern Ireland, the Channel Islands and the Isle of Man.
- Norwich Union is the UK’s largest insurer. It is a leading provider of life, pensions and investment products and one of the leading IFA providers. IFAs provide around 70% of the company’s long-term savings business.
- Norwich Union has strategic alliances with building societies and other leading UK brand names including Tesco Personal Finance and The Royal Bank of Scotland Group.
- Norwich Union’s news releases are available on the Aviva plc website at www.aviva.com