The Just For You - Interest Serviced Lifetime Mortgage provides the ability to choose a repayment strategy over the interest being charged. Dependent upon the level of monthly repayment as a percentage of the loan amount, will determine the interest rate applied by Just at commencement of the plan.
Just provide interest rate tiers for the monthly payment options as follows:-
- 0.01% reduction to the roll up interest rate if servicing up to 25% of the monthly interest amount
- 0.10% reduction to the roll up interest rate if servicing up to 25.01%-50% of the monthly interest amount
- 0.15% reduction to the roll up interest rate if servicing up to 50.01%-75% of the monthly interest amount
- 0.30% reduction to the roll up interest rate if servicing up to 75.01%-100% of the monthly interest amount
The higher the monthly repayment amount - the greater the discount applied to the plan. Selecting 100% repayment of interest, will actually maintain a level mortgage balance throughout the term; in essence managing the plan as an interest-only lifetime mortgage.
Just impose a minimum payment amount towards the scheme of £25pm, or upto 100% of the monthly interest charged. Payments can be made on the 1st or 15th of the month.
Therefore, dependent upon budget, you can choose whatever repayments are comfortable, with no proof of income or affordability required to obtain this 'Just For You' mortgage.
Whereas with conventional mortgages, repayments must be maintained at all times, the Just For You Lifetime Mortgage will permit payment holidays - with restrictions. One payment holiday of upto three consecutive months can be taken in each 12 month period to give flexibility over household budget. Any payments missed will be added to the loan balance and compounded thereafter.
The Just For You plan will also allow payments to be stopped at any time without financial penalty. However, once payments are stopped, they cannot be restarted. The plan will then effectively run as a roll-up lifetime mortgage with the interest rate being increased by the initial discount provided at the outset.
Just offer a generous unlimited free valuation and a fixed equity release UK lifetime interest rate.
As a company Just subscribe as members of the Equity Release Council, hence their plans include a No Negative Equity Guarantee. Therefore, upon the final sale of the property, the homeowners beneficiaries cannot be left with a personal debt to this home equity release company.