Could an LV= equity release plan be the solution to topping up your retirement investments? 

How would you know if its plans are the right choice for you?

STATEMENT: BankingTimes is a separate third-party information provider and therefore not related to Liverpool Victoria, and the information replicated in this section represents the interpretations of BankingTimes only and not the opinions of Liverpool Victoria. This piece does not constitute advice, or an incitement to enter any services or products provided by Liverpool Victoria.

What Are the Reviews for Liverpool Victoria Equity Release?

Reviews for Liverpool Victoria Equity Release underscore its commitment to facilitating secure and beneficial financial plans. Customers highlight the company's exceptional customer service, and personalised and comprehensive equity release solutions.

Its equity release products, specifically its lifetime mortgage option, receive particular praise, with many clients expressing satisfaction with the competitive interest rates and flexible repayment options.

While the majority of the reviews are positive, some customers note a somewhat lengthy processing time. However, this seems to be a minor issue compared to the overall satisfaction with the company's equity release products and services.

The reputation of Liverpool Victoria as one of the UK's largest and most trusted insurance companies also bolsters confidence in its equity release offerings.

BankingTimes' seasoned equity release specialists have meticulously analysed LV='s schemes, leveraging their deep industry knowledge to provide you with a trustworthy and comprehensive review. 

Save time and make informed decisions with these insights.

What Is LV=?

LV=, originally known as Liverpool Victoria, underwent a rebrand in 2007.¹ 

As a prominent UK financial institution, it offers an extensive range of insurance and retirement solutions. 

Established in 1843 as the Liverpool Victoria Friendly Society, its foundational aim was to assist Liverpool's low-income families by providing affordable life insurance policies (colloquially termed 'penny policies') for funeral expenses. 

In 2020, the organisation evolved from a friendly society into Liverpool Victoria Financial Services Ltd., shifting its focus to specialise in life insurance, pensions, and investments. 

This transformation has positioned it as one of the UK's leading insurance giants.² 

Why Should You Consider LV=? 

The company stands out as an award-winning financial service provider in the UK, renowned for its exceptional offerings.

What Equity Release Schemes Does It Offer?

The provider presents two primary equity release schemes, both structured as lifetime mortgages. These can be availed as either a lump sum or a drawdown plan.

Lifetime Mortgage Lump Sum+ 

You receive a portion of your property’s value in a lump sum with the Lifetime Mortgage Lump Sum+ plan.³

Features include: 

• Age eligibility ranges from 55 to 95.
• Option for further borrowing upon approval.
• Downsizing Protection after the 5th year.
• Maximum loan amount set at £1.5 million.
• No compulsory payments until death or moving into long-term care.
• Includes No Negative Equity Guarantee.
• Fixed charges for early repayment cease after 10 years.
• No Early Repayment Charge (ERC) under specific conditions.
• Interest rate influenced by age and LTV.
• Provision for optional, yearly repayments.

Learn More: A Simple Guide to Lump Sum Lifetime Mortgages

Lifetime Mortgage Drawdown+

This scheme offers the flexibility to initially borrow a smaller amount against your home's value while keeping the door open for additional loans in the future.⁴ 

An agreed-upon reserve will be established, from which you can draw these subsequent loans as needed.

Features include: 

• Age eligibility spans from 55 to 95.
• No interest repayments while residing in the property.
• Interest rate based on LTV.
• Allows monthly withdrawals (minimum £1,500).
• Initial loan starts from £10,000.
• Option for further borrowing upon approval.
• No Early Repayment Charge (ERC) under specific conditions.
• Maximum loan limit stands at £1.5 million.
• Incorporates a No Negative Equity Guarantee.

Learn More: How Do Drawdown Lifetime Mortgages Work?

Does LV= Have an Equity Release Calculator?

Yes, it does have an equity release calculator available on its website. 

Why not try our calculator for a risk and obligation-free outline of what you can release?

What Are the Costs Associated With Equity Release?

Equity release involves application fees, interest rates, and other associated charges. 

The interest on the borrowed amount is calculated at fixed rates, with compound interest accumulating over time. 

Apart from this, potential costs include: 

• Arrangement and valuation fees
• Legal expenses
• Early repayment charges
• Financial advisor fees

It is important to consult with an independent financial advisor to go over these potential costs to avoid any surprises down the line.

What Are the Eligibility Criteria for LV= Equity Release?

As with any equity release loan, you will be required to meet certain age and property criteria in order to qualify. 

The criteira include:

• Age between 55 and 95 upon application
• Hold permanent UK residency for at least 3 years
• Property located within specific regions of the UK and serving as the main residence
• Property value between £100,000 and £6,000,000 depending on the plan⁵
• Property conditions and specifications regarding freehold and leasehold

Benefits and Risks

Like any financial decision, weighing the advantages and disadvantages is crucial when considering equity release with LV=.

Let us explore these in a little more detail.

The benefits you can expect include: 

• Inheritance protection
• Collaborating with esteemed industry partners
• No monthly repayment obligations
• No Negative Equity Guarantee
• Retained homeownership

The risks to keep in mind include: 

• Advice fee of £1,795 post the initial consultation should you go forward with the process
• The impact on inheritance
• Potential implications for means-tested benefits
• Accumulation of compound interest
• The requirement to clear any pre-existing mortgages

Running through all of the risks and benefits with a qualified equity release advisor can help determine its suitability for your circumstances and financial goals. 

Customer Feedback

A majority of customer feedback for LV= underscores its outstanding customer service, evidenced by numerous positive testimonials on platforms such as Trustpilot.

How Does LV= Address Complaints and Disputes?

The provider manages complaints and disputes through its dedicated customer service team. 

Complaints can be lodged via phone, written correspondence, or online platforms.

• Phone: 0800 028 8974 
• Writing: Box 2, LV=, County Gates, Bournemouth, Dorset BH1 2NF. 

You can also complain via online review sites like Trustpilot and Feefo.

Regulatory Details

Financial Conduct Authority (FCA)

LV= is regulated by the Financial Conduct Authority (FCA) to ensure good conduct by the financial services sector.⁶

The firm is registered as  Liverpool Victoria Financial Services Limited and LV Equity Release Limited. 

It is permitted to provide financial services for banking, insurance, pensions, and investments. 

Prudential Regulation Authority (PRA)

The Prudential Regulation Authority (PRA), a division of the Bank of England, plays a pivotal role in overseeing financial service providers, ensuring that their offerings prioritize safety and security for consumers.⁷

Equity Release Council (ERC)

As an accredited member of the Equity Release Council (ERC), the firm rigorously follows the council's stringent code of conduct, demonstrating a strong commitment to consumer protection.⁸

How to Contact LV=

There are three ways to contact the firm: 

• Phone: 0800 051 4475 
• Writing: County Gates, Bournemouth BH1 2NF.
• Request a callback⁹ 

How Did We Review the Info on LV=?

In our comprehensive review, we evaluated the company based on several critical aspects:

• Reputation and History: Investigating its years in business, customer feedback, and industry accolades.
• Financial Strength: Assessing its ability to sustain long-term commitments and overall financial robustness.
• Product Range: Examining the diversity of equity release schemes it offers.
• Interest Rates and Fees: Comparing its rates to industry averages, focusing on transparency and the absence of hidden charges.
• Customer Service and Support: Analysing the availability and responsiveness of its support, along with the quality of online resources and tools like calculators.
• Code of Conduct and Compliance: Ensuring it adheres to recognised industry standards and ethical practices.
• Industry Insights and Peer Reviews: Considering its reputation and standing within the broader financial community.
• Innovation and Technology: Reviewing the efficiency of its digital application process.
• Client Testimonials: Looking into customer success stories and its approach to resolving complaints.

Common Questions

Conclusion

LV= provides a range of competitive equity release options, allowing homeowners to tap into the value of their properties while maintaining residences. 

When considering such a significant financial step, it is essential to carefully evaluate how equity release aligns with your long-term financial objectives and personal situation. 

Given the complexities and potential impacts on your financial future, consulting with a professional advisor is highly recommended to ensure that choosing an equity release plan, particularly through LV=, is the right decision for your unique needs.