What is compound interest on equity release, and how much can you expect on your plan?
If you are looking into later life lending, you may have heard about equity release and compound interest. Use our equity release interest calculator to understand how it might affect your own plan.
When you take out a lifetime mortgage (the most popular form of equity release) compound interest will be charged on the loan. This can build up considerably over the term of your plan, so it is important that you know what to expect.
To help you, read our guide to how compound interest works below, and use our free equity release compound interest calculator:
- What is equity release?
- How is equity release compound interest calculated?
- Interactive equity release interest calculator
- Would future property value increases partly offset compound interest?
- How do lenders set their equity release interest rates?
- Can I get equity release without compound interest?
- Can I reduce the amount of compound interest that’s owed?
- Get your personalised equity release quote
We hope this article will help you understand compound interest, with the equity release compound interest calculator below helping you to calculate it for a plan you might be considering.
In addition, our selected advisers are also available to provide quotes and illustrations at competitive interest rates from leading UK providers. Just call us on 0800 096 2215 or request a call back and we’ll arrange a no-obligation appointment with an adviser for you.