Equity Release Guide Covering Useful Tips About What To Do, Finding An Adviser and Legal Information

This guide is intended to help you through the maze of information there is to digest. You should decide how much money you need. Do you want a lump sum and/or additional regular payments?

Invite an Independent Financial Adviser to discuss this with you. Insist on face to face advice. Don't be talked into taking out a plan over the phone. Don't be harrassed by promises that the company gets better terms than anyone else in the market.

If they are in the least bit pushy - suggest that they push off!

Find out what they charge for their services before agreeing to see them. What exactly do you get for this? Will they lead you through the process step by step?

Always ask the adviser if they can record the meeting so you have a complete record of exactly what was said. This may be useful to play to your relations who were not present at the meeting so they can hear exactly what was said. This might be beneficial in years to come!!!

If you wish, advisers recommended to you from this site will always record the meetings, and send you a CD, so you have the information for your records for all time.

Make sure that you understand their terms of business from the IDD - Initial Identification Document.

Before you meet, get all your personal details together. The more thorough they are in the questions they ask you, the more trust you can put in them. It's essential that they find out about your income and expenditure so that you don't draw down more than you need to.

When they have done their research into what different plans are available and selected a plan, get them to explain exactly why they have chosen it.

Ask to see their research - is it easy to read and to understand? Get them to email you a copy before you meet them which will prove to you just how flexible they are prepared to be.

Be sure they leave you a copy of this with you. Can they show you what happens with house price inflation over a defined period? If prices go up by a certain percentage for instance?

You want to have a full dossier of information so that you can explain it to friends and relatives easily. If you cannot understand it - walk away.

Have they explained what the Early Repayment Charges could be? Make sure you clearly undertand these.

Find out why they have discounted other plans which may appear to have lower rates. Are there special incentives available? It is an FSA requirement under Treating Customers Fairly to be given this information.

THE LEGAL WORK

Do you want to use a local solicitor or are you happy to employ a specialist?

An equity release solicitor will offer a fast and efficient service, priding themself on their communication through the process from start to finish. They go to great lengths to keep you informed, using e-mail, direct phone lines and replying to letters within 24 hours. Their experience in Equity Release enables them to complete the process in the shortest time possible.

But you may be happier paying more to a local company where you feel you have a closer relationship. It is up to you to decide and the adviser should not try to influence you.

UNDERSTANDING THE CHOSEN PLAN

You will be given a very comprehensive document 'the KFI' which explains all the detail of the chosen plan. Go through this carefully and insist that the adviser explains anything that you find confusing or lacking in detail.

You are taking a very big step and you must feel confident that you fully understand the risks and rewards of proceeding.

You will be sent a Suitability Report by the adviser that sets out all the facts about your needs and the plan chosen and why this is the most suitable. It will be very comprehensive so be sure that it is 100% accurate.