UK: Norwich Union raises lifetime mortgage rates

Norwich Union is raising the interest rates on its Fixed Rate Lifetime Mortgage and Cash Reserve Option plan from Monday 4 September 2006.

Norwich Union is raising the interest rates on its Fixed Rate Lifetime Mortgage and Cash Reserve Option plan from Monday 4 September 2006.

The interest rate on the Fixed Rate Lifetime Mortgage introduced by intermediaries will be 6.35%* (6.6% APR). The previous rate was 6.25% (6.5% APR).

The interest rate for business introduced by the NUPF salesforce will be 6.60% (6.9% APR). The previous rate was 6.50% (6.8% APR)

The interest rate for the Cash Reserve Option introduced by the NUPF salesforce will rise to 6.65% (7%APR). The previous rate was 6.60% (7.0% APR)

All pipeline cases that are offered before 4 September and completed by 27 October will be subject to previous rates.

Daren Carter, director of sales and marketing at Norwich Union Personal Finance, said: “Norwich Union has been working hard to keep lifetime mortgage interest rates as low as possible for as long as possible, but long-term interest rates have risen and this means we have had to raise our lifetime mortgage rates.”

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Press office contacts:
Cheryl Cox 01904 452791 Out of hours 07800 695275
David Gwyer 01904 452828 Out of hours 07800 699508
Louise Soulsby 01904 452617


Notes to editors:
* Please note, the interest rate shown is the annual rate. The overall cost for comparison of the loan is shown as the APR (annual percentage rate).

  • Norwich Union is the market leading equity release provider with a market share of 30% (Source: Safe Home Income Plans Q2 2006). Full written terms and conditions are available on request.


About Norwich Union

  • Norwich Union is the UK’s largest insurer. It is a leading provider of life, pensions and investment products and one of the largest Financial Adviser (FA) providers. FAs provide over 70% of the company's long-term savings business in the UK.
  • Norwich Union is the UK’s largest general insurer with a market share of around 14%, with a focus on insurance for individuals and small businesses.
  • Norwich Union’s news releases and a selection of images are available from Aviva's internet press centre at www.aviva.com/media

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