derrick
The Glue that binds us together.
- Location
- On the edge of London
Anyone had any experience with this, is it a good or bad idea.
I would say for a single person, with/or no desire to leave money to family/friends, with less years ahead than perhaps one might wish for then it can do no harm. Enjoy the capital while one can.
In any other circumstance it requires very careful consideration and professional advice.
I would say this isnt always the case. If say the person needed a care home at some point then it could affect their choices and good luck with getting the council to pay nowadays...
I think its very bad news and I'd go for a loan/ saving up and doing without first.
I would say this isnt always the case. If say the person needed a care home at some point then it could affect their choices and good luck with getting the council to pay nowadays...
I think its very bad news and I'd go for a loan/ saving up and doing without first.
Many equity release companies, I worked for one for a short while but did not like what I did for a living so left, have the clause that ER is repayable when either the customer/borrower dies or enters full time care.
I remember thinking that, as my Aunt has such a repayment clause, that as her loan balance is in the high £180k area now, with a 5.5% loan that she had 20 years ago, that should she need a care home, that she would be in real bother with paying for it. I can’t see my cousin, now a 60 year old man who lives at home still and more than a bit of a bully, caring for my aunt. I can envisage him totally losing his temper over how much would be left if the ER company wanted repayment then. He’s going to be shocked enough should she die whilst living in that house. Aunt is still in good health for a lady in her mid 80s, and I suspect that when she dies or goes into a full time care place, that the cousin will ’inherit’ about four pence ha’penny.
I considered that, as a single pringle, that it could work for me, down the line as I have no descendants and any money that I leave will go to the local dog’s home, however, should I need care? Well that has given much pause for thought. On balance, having worked in the industry, I wouldn’t do it.
I suspect that somethings never changethe behaviour of some of the salesmen was appalling. I would hope the practices are better now.