A fixed rate interest-only mortgage available to ages 55+

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A fixed interest rate that will never increase.

So you'll always know exactly what your monthly payment is.

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Fixed Early Repayment Charge.

You will always know how much the charge will be if you choose to make a payment beyond your overpayment allowance, or if you decide to pay off your mortgage in full.


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Interest-only monthly payments.

You only pay the interest each month, and it will never go up.

Our Interest Only Mortgage is a loan secured against your home.

As a last resort, your home may be repossessed if you don't keep up with the monthly payments.

Our Interest Only Mortgage Offers Flexibility

Use the loan for a wide variety of needs

You can borrow for most reasons, including the purchase of a new home if you have a large enough deposit.

No fixed term

You don't have to repay the loan by a specific date. It's repaid when your property is sold after the last borrower dies or moves permanently into long-term care.

Pay more to reduce how much you owe

You must pay the interest off each month, but you can pay more if you want to reduce how much you still owe on the loan.

You can still move home

The new home is subject to our usual lending criteria. In other words, assuming it’s a property we would be happy to lend against, you can move home.

Feel secure with your decision

Fully-advised product

Our interest only mortgage can only be taken out through a mortgage adviser.

Affordability Checks

Our financial advice team will help you understand the level of repayment you can meet on a monthly basis.

Trusted lender

Since 2015 we've lent £6.11 billion to over 110,000 later life mortgage customers.

  • Am I eligible?

You should be 55 or over and living in, or buying your own home, in England, Wales or mainland Scotland.  You should be confident you can pay the interest each month now and in the future. The minimum loan you can apply for is £10,000 and your property must be worth £70,000 or £100,000 for flats, maisonettes, ex-council, ex-housing association or ex-Ministry of Defence properties.

The actual loan amount is determined by an affordability assessment up to a maximum of 60% of your property value. Based on your employed income (up to 8.5x) and/or retirement income (including retirement income yet to be earned) of lowest earner.

  • What happens if I have an existing mortgage?

A Retirement Interest Only Mortgage can be used to repay an existing mortgage. What’s more, a Retirement Interest Only Mortgage doesn't have to be repaid until the last borrower dies or moves permanently into long-term care.

If you have an existing mortgage, you will need to use the Retirement Interest Only Mortgage to pay it off and you may have to pay an early repayment charge to your existing lender.

If you haven’t got an existing mortgage, you can still apply and use the money for something else.

  • How does this compare to the Optional Payment Lifetime Mortgage?

A Retirement Interest Only Mortgage commits you to pay the interest each month. This means the amount you owe doesn’t increase over time. If you’re not sure you can commit to this, consider the Optional Payment Lifetime Mortgage. This gives you the option to pay off some of the interest, but you don’t have to. Any unpaid interest is added to the loan.

  • How flexible is a Retirement Interest Only Mortgage?

You can repay more than just the interest on the loan to reduce how much you owe even further. It’s also possible to still move home with a Retirement Interest Only Mortgage. What’s more, you can apply for a further loan against your property in the future.

  • Missing interest payments

If you miss monthly interest payments we’ll always try and help. If we can’t resolve the situation, as a last resort your home may be repossessed.

  • Early Repayment Charges

If you repay your Retirement Interest Only Mortgage early, or pay more than the overpayment limits, there may be an Early Repayment Charge.

  • Moving home

You can move home, and transfer the loan as long as the new property meets our lending requirements. If the new property is worth less than your current home, you may have to pay back part of your mortgage.

  • Means tested benefits

If you take out a Retirement Interest Only Mortgage it could affect any means-tested benefits or pension credit you receive.

How much could you borrow?

Our affordability calculator will give you an idea of the amount you could borrow. Please make sure you complete the calculator as thoroughly as possible for an accurate result.

Once you've had a calculation, you'll need to speak to an Adviser, who can talk to you about your circumstances and complete a full Decision in Principle. This will provide you with the exact amount that can be borrowed; it's subject to the information you provided plus the results of a credit reference check. Applications are subject to our standard lending criteria, status and financial standing.

The calculator gives an estimate of the potential amount you could borrow but is not a guarantee of lending. Additional calculations and evidence will be required to fully assess how much you can afford to pay. This may reduce the amount we would be prepared to lend.

Think carefully before securing a loan against your home. As a last resort, your home may be repossessed if you don't keep up with payments.

Please make sure you click on information buttons in the calculator to understand what amounts you need to include.


Adviser on phone

Call to find out if our Interest Only Mortgage is right for you

To speak with us about your options, call the number below.

For any other enquiries please get in touch via our contact us page

0121 221 2612

Monday to Friday 9:00am - 6:00pm
Saturday 9:00am - 1:00pm
We may record and monitor calls.

  • Monthly Council Tax Payment;
  • Annual salary (average of the last 2 years profits/earnings for self-employed);
  • Annual guaranteed bonus, overtime and commission;
  • Income from investments such as buy to lets (average over the last 2 years);
  • Pension pot value for Self-Invested Personal Pension, Defined Contribution or Personal Pension;
  • Annual State Pension;
  • Annual Defined Benefit or Annuity (please advise if the Annuity Pension is escalating or not);
  • Any spousal benefits connected to all private pensions;
  • Details of whether your pensions are currently being taken, or to be taken in the future
  • Any monthly credit commitments & committed expenditure (no need to include normal household bills) for individuals and joint.

Help to stay safe from scams

See how you can protect yourself from fraud.

Further support

Making decisions about how to finance your retirement is important so it’s worth shopping around and using available guidance and advice, before you buy:


Equity release options

An alternative way to supplement your income is through equity release, a loan secured against your home.

We offer a number of equity release options which you can find out more about.

Contact us about our later life mortgages

To discuss our Later Life Mortgages, a loan secured against your home, and if they're right for you. 

Call us on:


Monday to Friday 9am to 6pm, Saturday 9am to 1pm.

Call charges will vary. We may record and monitor calls

Get independent advice

If you’re looking for independent advice, you can connect to an independent financial adviser in your area through Unbiased.