What is an Optional Payment Lifetime Mortgage?

Tax-free cash, with optional payments

Our Optional Payment Lifetime Mortgage, a type of equity release, is a loan secured on your home which allows you to borrow against the value of your home while continuing to live there. You get a tax-free cash sum, and could save interest by making monthly interest payments. You can stop interest payments at any time, but you won’t be able to restart them.

This could be one solution if you‘re approaching the end of an interest-only mortgage and need to repay it. You may need to pay an early repayment charge to your lender.

Read our free guide

Get a copy of our guide to lifetime mortgages

Please complete and submit the form below to receive a copy of our guide to lifetime mortgages through the post. There's also an option below to download a copy instantly too.

If you have any questions about our products and would like to speak to someone about your options, you can call us on the free phone number below.

0808 301 70440808 301 7044

Calls are free. Monday to Friday, 8:30am to 8:00pm.
Saturday, 9:00am to 1:00pm.
Calls may be recorded and monitored.

Please give me a guide

If you’d like a copy of our guide through the post, please complete your full name and address. We’ll use these details to send you your free guide. If you give us your phone number, we will contact you to answer any questions you may have.

Personal details

Complete if you’d like to be contacted about lifetime mortgages.

Complete if you’d like to hear more from us about our products and services. You’ll need to select the opt in box below as well.


Would you also like updates from us?

From time to time we'd like to contact you with news, useful information and exclusive offers on our products and services. If you'd like to be kept up to date, please let us know how you'd like to hear from us below.

Our promise is that we take your privacy seriously and will never share your personal details with anyone else for their own marketing purposes.

You can find out how to opt out of marketing at any time in our privacy policy.

Request download

Thank you for submitting your details.

Download your free guide

Thank you for requesting your free guide. Please click the button below.

We're sorry but there's a problem with some of the information that you've provided. Please check the form and try again.

We're sorry but there's a problem with submitting your form details. Please try again later.

  • Tax-free cash

    Since the money you release, with a lifetime mortgage is borrowed from your equity, it remains tax-free.

  • Option to make monthly payments

    You can pay some or all of the monthly interest to reduce the overall cost of the loan, and you can stop making payments at any time.

  • Release equity when you need it.

    There’s flexibility to borrow more in the future if you choose not to take the full amount available upfront. If you take smaller amounts later, a different interest rate may apply to each amount to take, depending on interest rates available at the time.

  • Guaranteed no negative equity

    We guarantee that your beneficiaries will never have to pay more than the sale value of your home. This is as long as the property is sold for the best price reasonably obtainable and you’ve met the product Terms and Conditions

  • Am I eligible?

    You must be 55 or over and living in (or buying) your own home, with either a small or no mortgage.  Your home will need to be worth a minimum of £100,000, or £150,000 if an ex-council, ex-housing association, or ex-Ministry of Defence property. 

  • I have an Interest Only Mortgage

    You can use the Optional Payment Lifetime Mortgage to pay off an existing Interest Only Mortgage and continue the monthly payments for the rest of your life or until you decide to stop.

  • I want to take lump sums

    Optional Payment Lifetime Mortgage lets you take a one off lump sum, or smaller amounts as and when you need them. You can borrow a minimum of £10,000 in your first release and then future lump sums of at least £2,000 each time.

  • I want some flexibility later

    If you want the option to release more equity in the future, then an adviser can help you achieve this with a lifetime mortgage. If you take smaller amounts later, a different interest rate may apply to each amount to take, depending on interest rates available at the time.

Find out more in our Lifetime Mortgage guide

  • Impact on inheritance

    A lifetime mortgage will reduce an inheritance. There is an option to take inheritance protection to secure a proportion of the net sale proceeds of your home.

  • Early Repayment Charges

    As a lifetime mortgage is designed to last a lifetime. If you decide to repay your lifetime mortgage in full, you may have to pay an Early Repayment Charge which could be substantial, so think carefully before you decide.

  • Moving home

    You can move home, and the loan will be transferred as long as the new property meets our requirements.

  • Means tested benefits

    Taking out a lifetime mortgage may affect your entitlement to means-tested benefits or pension credit.

  • Compound interest

    Interest is charged on the loan, plus any interest already added. So, if you don’t pay some or all of the monthly interest, the amount you owe will increase quickly over time. There may be cheaper ways to borrow money.

My lifetime mortgage calculator

Our free, easy-to-use equity release calculator will show you how much you could release from your home with a Legal & General Lifetime Mortgage.

I am years old  and I think my property is worth

Photo of woman on phone call

Get in touch to see if we can help you release equity

To have a chat about your options for releasing equity from your house, call us on the number below.

0808 301 70440808 301 7044

Monday to Friday 8:30am - 8:00pm
Saturday 9:00am - 1:00pm
We may record or monitor calls

Need help?

Making decisions about how to finance your retirement is important so it’s worth making use of the guidance and advice services available:

Retirement guidance

Equity Release Council

Legal & General Home Finance Ltd is a member of the Equity Release Council, a trade body setting standards for providers. Take a look at their consumer brochure for more details.

Contact us about equity release

Call us on:

0808 301 70440808 301 7044

Monday to Friday 8:30am to 8:00pm. 
Saturday, 9:00am to 1:00pm.
We may record and monitor calls


Get independent advice

You can't take out an equity release product unless you have taken financial advice. Find out how to access independent legal and financial advice.