With the Chancellor George Osborne announcing that there is to be a cut to child benefits, many families will soon start to feel the pinch. If helping your family out financially is something you feel strongly about, you are aged over 55 and you own your own home, a lifetime mortgage or home reversion plan could be worth investigating as both allow the release of cash from a property to spend on absolutely anything desired and in fact one of the most popular uses of equity release is to help out the family.
Filling the Child Benefit Hole
Depending on each individual household, the reliance on child benefits differs greatly. Whilst some need it to provide vital financial support to raising the children, others use it as back up cash or put it away for the child to take advantage of when they’re older. Whatever it’s used for, its disappearance is certainly likely to leave a hole.
Financial Security with Equity Release
You may opt to help the kids with a bit of financial security; perhaps pay for the odd treat — a holiday or a new car for example or some much needed home improvements that will increase their living space — or maybe even help them move home or pay off some debts so they are better off each month. You might want to offer a helping hand with private schooling or pay for clubs or music lessons for your grandkids or just help out as and when needed perhaps at uniform time or for school trips.
Whatever you decide to do to help your family, equity release can make it all possible. Take specialist advice from an independent equity release adviser to discover whether you’re eligible and whether it’s the right course of action for you.
Equity release may involve a lifetime mortgage or home reversion plan. To understand the features and risks, please ask for a personalised illustration.
Bower is an FCA regulated independent financial advice company that offers specialist advice on equity release throughout the UK. For more information email [email protected] or call 0800 4118668.