Has anyone used equity release for retirement?

[Lilyflame]

I’ve only heard horror stories from the old days where people ended up owing more than the house was worth
ive spoken to one company and it sounds like its doable. I just don’t want to get ripped off

Not if you spend it!

Look into Retirement interest-only mortgages?

Depends on your circumstances too. At aged 80 with no children to leave money to and £600k tied up in the house, it’s a possibility, I know people in these situations use it because they didn’t want to move

There can be interest payments though - that’s one option , it’s called RIO - and as I mentioned below there’s the option of draw down either in bits or monthly income , so how quickly it adds up depends how much you draw down -

I suspect you are misunderstanding. Unless you signed the loan you are not liable for the debt personally. You need to speak to a lawyer.

But you are never liable as a beneficiary???

But surely the debt is not your responsibility - just relinquish being executor surely

Still doesn’t make sense

resign as executor - and if there’s no money left you don’t get any as a beneficiary

There's no way a contract you didn't sign can make you personally liable. The company might want you to think you are but you cant be, unless you were somehow involved in the ER loan.

Because high street lenders generally stop
lending at age 70.

You need sufficient income to service this.

It is much more regulated now but people still remember or have heard about the 80s version and so react with horror without actually knowing the facts of modern equity release.
For anyone who has no dependents or isn’t worried about leaving their property to somebody then I think it can be good.
I know a few people who have done it in the past 5 years.
You can choose to pay the monthly interest or pay nothing at all.
For someone who needs or wants a lump sum and has no other way of getting the money and doesn’t want to move to a smaller place it can be a good option as long as you check your provider is reputable.

Its a shit show.
My parents did it. And forgot to tell us.
35k the took out.
Its now due and its 165k of a debt.
Who in their right minds does this.
They didnf need it. They squandered it. While letting on they were living it large in sunny Spain with a big house all paid for.
Built on sand it was.
Absolute loansharks. And lending to fools.

In your opinion they squandered it, they’ve sound like they were enjoying their retirement.

You’re angry it’s eaten into their inheritance, but that inheritance was never a definite!

They did what they needed/wanted to do to enjoy their retirement. Good for them.

@TooManyNiblings - I agree with many other posters here.

There is something not right about the scenario you are describing. You need to seek out the services of a good solicitor. Just because you are executor, it should not mean that you are liable for this debt and be facing bankruptcy.

Source a solicitor, contact the relevant ombudsman etc. The debt is not your responsibility.

Nope.not in the slightest.
I couldn't give a fuck about the money.
Its going to charity.
Heck of an assumption though.

Nope. Liars and frauds they were.
And i want no part of their money.
I have more thn enough of my own.
Their actions was just one final act of selfishness in a lifetime of it.
What a legacy.

Same.

So anything they did would be wrong, it’s not about tgevER.

It’s the same round me. Run down bungalows cost the same as a big family semi/detached.

I work for a company that provides ERMs and there’s a lot of misinformation. Speak to a qualified IFA who specialises in ERMs.

Sigh.
Paying back turning a 30k debt into a 165 debt is not good accounting no matter what way one looks at it.
People who want to do it will excuse it all they want, cos it suits them.
But its an appalling practice.
Bonkers carry on.

Having money to spend on what they want and when they want instead of realising it when they are dead and its too late.

You dont want their money, so why are you so bitter?

Totally agree - the debts are paid from the estate, not you. So relinquish your duties as executor, and let them fill their boots.

If you didnt sign for it, then how are you liable for it?