Canada Life cuts lifetime mortgage rates by up to 60bps

Rates now start at 3.09% AER for its Capital Select Super Lite product, a reduction of 0.50%.

Capital Select Lite rates have seen the biggest reductions, falling by 0.60% to 3.29%, while the Capital Select Gold Plus product has also been reduced by 60bps to 4.39%.

Capital Select Gold rates have been reduced to 3.79%, Capital Select Platinum starts from 4.99%, and the lender's Capital Select Platinum Plus is now available at 5.99%.

Canada Life is also increasing LTV across these products by up to 4%, reaching 28% at age 70 for its Capital Select Super Lite.

The Capital Select Options range allows customers to borrow up to £1 million against their property and make payments from as little as £50 to a maximum of 10% of the initial loan amount each year without incurring an early repayment charge. Payments can also be made as frequently as customers wish.

Alice Watson, head of marketing, at Canada Life, said: “We’re pleased to announce a series of changes to our Capital Select Options - one of our lifetime mortgage product ranges - as well as our Lifestyle Options. The flexibility and certainty offered by the Capital Select Options range gives customers real peace of mind, while the cashback option is a means of support that can be put towards legal and adviser fees. Meanwhile, our Lifestyle Options are particularly popular with people who do not want to make regular repayments.

“As with all our lifetime mortgage products, both of these ranges allow people to continue living in their homes, while releasing the money tied up in their property. The potential unlocked capital can help retirement plans, pay for home improvements or even help fund lifestyles.”