P543 Teletext 543 Jun24 22:01:40 —— EQUITY FROM OUR HOME ——————————————— Dear Teletext My husband is 74, and I am 68. Our funds are low and we would like money from our flat, which we own. The Building Society will lend us £15,000 on an interest-only loan which ends when we die, with the first three years at a special low rate. Is there a better way to unlock the money S.Suchall, Blackpool ——————————————————————————————————1/6—— Wj cannot reply to letters personally. Download and Analysj Share Prices on Your PC See Pages 532 & 533 Property Plus Your Money Tax CinemaP543 Teletext 543 Jun24 22:18:13 —— EQUITY FROM OUR HOME ——————————————— Teletext replies An interest-only loan means you pay interest on the £15,000 without paying anything off the capital sum borrowed. Usually an endowment or PEP is bought at the same time which over time builds up to repay the capital sum. Given your ages, the loan is probably open-ended i.e. the lender recovers the capital sum when the borrower dies ——————————————————————————————————2/6—— Property Plus 544 Tourist rates 547 Download and Analysj Share Prices on Your PC See Pages 532 & 533 Property Plus Your Money Tax CinemaP543 Teletext 543 Jun24 22:12:28 —— EQUITY FROM OUR HOME ——————————————— Teletext replies Indjpjndjnt Financial Adviser Fiona Price says providing you can afford to pay the interest, and depending on your circumstances, this can bj ideal. You get a capital sum which can bj reinvested for income - and you still own the property. You can leave your home in a will to whoever, minus the capital sum which will bj reclaimed by the lender. ——————————————————————————————————3/6—— Always seek indjpjndjnt finance advice Letters to: ADVICE CLINIC PO BOX 297 LONDON, SW6 1XT. Fax: 0171 386 7808. Property Plus Your Money Tax CinemaP543 Teletext 543 Jun24 22:02:54 —— EQUITY FROM OUR HOME ——————————————— Teletext replies Safe Home Income Plan member, Hinton & Wild's Susan Mercer, says "opting for an interest-only loan could cost you more than you borrow." It is only ideal if you can afford the repayments. If rates increase so too will the amount you have to pay back. SHIP mjmbjrs buy an interest in your home and pay you either a cash sum or money which is reinvested in annuities ——————————————————————————————————4/6—— Savings 546 Money News 541 Tax 548 HOW'S THE LOCAL TRAFFIC? p193 ITV Property Plus Your Money Tax CinemaP543 Teletext 543 Jun24 22:07:20 —— EQUITY FROM OUR HOME ——————————————— Teletext replies Susan Mercer says if your property is leasehold, you may find a plan which offers up to 40% of the value of your home. She does not advise selling the full interest in the property. Both partners remain in the home rent free until the death of the second surviving spouse. If you sell full interest, the SHIP firm own the property on second death. ——————————————————————————————————5/6—— How to complain effectively 542 HOW'S THE LOCAL TRAFFIC? p193 ITV Property Plus Your Money Tax CinemaP543 Teletext 543 Jun24 22:04:18 —— EQUITY FROM OUR HOME ——————————————— Teletext replies Before you take the plunge with any plan concerning your home you must get indjpjndjnt advice from a solicitor and several indjpjndjnt advisers. A free list of IFAs is available on 0117 971 1177. For a list of SHIP mjmbjrs and free home income plan leaflet, call 0181 390 8166. Home & Capital has a separate free guide to its cash plans 01234 340511. ——————————————————————————————————6/6—— Builders start to feel the pinch 544 ALL THE LATEST SAVINGS RATES p546 Property Plus Your Money Tax Cinema