Archive for February, 2010
What is a Drawdown Plan?
A drawdown plan is one of the kinds of equity release scheme. It is just like a simple lifetime mortgage with increased flexibility. The only difference is that, in your basic lifetime mortgage, you can receive the lump sum amount right away whereas in drawdown plans, you cannot get the lump sum amount right away. It’s up to you to decide whether you want to release and ‘draw down’ the remaining balance in stages or not. But like the regular lifetime mortgages, the draw down plan is also available for homeowners aged 55 and above.
What are the advantages of a drawdown lifetime mortgage? First, you can make withdrawals only when you need them or you can request to have it as a monthly income. It’s all up to you how you want to get your money. Second, the amount of equity released will only be the amount subjected to monthly interest. This means that interests will accumulate slowly especially if you will not draw down all of your cash at once. Third, you are in full control of your money. You have the power to decide whether you release your cash all at once or you prefer to release it as a monthly income. Fourth, you can still retain full ownership of your home. There is no need for you to get out of your property. You can opt to stay in your home unless if you want to get out from it, then you can do so. Fifth, younger people (aged 55+) can apply for this type of loan. Draw down plans can be made available for them. These are some of the many advantages that you can gain if you apply for a draw down lifetime mortgage.
Choosing the right type of loan can really help you and your family. At Expert Equity Release we offer many types of loans and drawdown plan is one of them. We assure you that if you do business with us, we offer free initial consultation. This means that you can call us and ask us about your concerns and we will give you advice for free. There is no obligation even if you don’t want to proceed in doing business with our company. We also give impartial advice and we will be honest to tell you if draw down plan is really right for your current situation or not. 
For more information about our company, you can visit us at www.expertequityrelease.co.uk. We would be very happy to hear from you. Let’s work hand-in-hand in making your lives more comfortable.