Legal & General Equity Release: What to Know in 2024

Legal & General constantly updates its equity release offerings, introducing innovative features like flexible repayment options and competitive interest rates. We keep you informed on the latest developments to maximize your retirement finances.
  • Last Updated: 04 Apr 2024
  • Fact Checked
  • Our team recently fact checked this article for accuracy. However, things do change, so please do your own research.


Francis Hui
What Is the Process for Applying for Legal and General Equity Release? Discover the Pros, Cons, Fees, Interest Rates and Scheme Features. Read This Article to Obtain the Answers You Need...
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Key Takeaways
  • Unlock your home’s value with Legal and General’s numerous and flexible equity release plans—choose from lump sums or easy-access drawdowns.
  • Get the lowdown without pressure—Legal & General ensures customers are fully informed with a no-obligation advice service, highlighting their commitment to transparency and customer understanding.
  • Sleep easy with fixed rates on all plans, keep your financial future predictable, and opt for inheritance protection to ensure your loved ones inherit, even as you tap into your equity.

From insurance and investment management to retirement solutions and equity release, Legal and General could be considered a great choice as it offers a comprehensive suite of offerings to cater to various financial needs.

In this discussion, we will explore Legal & General’s equity release schemes, covering features, benefits, and key points, alongside their customer service, complaints process, and regulatory compliance for a full overview.

In This Article, You Will Discover:

    Our experts at Every Investor have examined all offerings to understand the broader context of its services better. 

    NOTEEvery Investor is an impartial and unconnected third-party information provider via this website, and the details replicated in this commentary represent the opinions of Every Investor only and may not reflect the views or opinions of Legal & General. This article must not be interpreted as advice, nor is it a solicitation to conduct transactions in any financial product provided by Legal & General.

    Who Are Legal & General (L&G) and What Do They Offer?

    L&G is a prominent British financial services company that specialises in insurance, investment management, and retirement solutions. 

    It offers various products and services, including life insurance, asset management, annuities, and pension schemes. 

    The company is known for it’s significant presence in the UK and it’s status as a major player in the insurance and investment sectors.

    Are Equity Release and Lifetime Mortgages Offered by Legal & General?

    Yes, equity release and lifetime mortgages are offered by Legal & General as part of its financial services. 

    What Constitutes Equity Release Finance With Legal & General?

    Equity release finance with Legal & General constitutes plans allowing homeowners to access their property’s value, and for individuals over 55, equity release finance is a way to access the wealth tied up in their homes, providing cash without selling.

    It’s a strategic financial move to capitalize on your property’s value.

    Its repayment mechanism is distinctive; the loan and interest are repaid only when the property is sold, usually after the homeowner’s death or entry into care facilities, offering a deferred payment solution.

    Before committing to any financial arrangement, it’s crucial to thoroughly research and understand the terms of the chosen equity release scheme.

    How Can Customers Apply and Calculate Potential Loans?

    To apply for Legal & General’s equity release, start with their online calculator or contact them directly for a personalised consultation.

    With a personalised consultation, they comprehensively assess your financial situation and explain how equity release could impact your future.

    During this discussion, all pertinent details related to equity release are discussed, including its impact on inheritance and tax liabilities.

    At this stage, they’ll confirm your eligibility criteria such as being over 55 and owning a property valued at least £70,000.

    Once you decide to proceed, your advisor initiates the application for you.

    In the form, they detail your property value, the amount you wish to release, and your personal financial information.

    Legal and General then evaluates your application and property valuation report.

    If approved, they issue an offer detailing terms and conditions.

    After your solicitor reviews and you accept the offer, Legal and General transfer the funds directly to your account.

    This entire process typically takes 8 to 12 weeks.

    How Can You Use Legal & General’s Equity Release Calculator?

    Legal & General’s equity release calculator allows you to estimate potential equity release amounts by entering details such as your age and property value.

    Factoring in any outstanding mortgages, the tool gives an indicative figure to help gauge what you might release, although final terms may vary.

    Why Should You Consider Legal & General for Your Equity Release Needs?

    You could opt for Legal & General for equity release for reasons such as their reputation and experience, retirement solutions, and customer support.

    Let’s consider the following reasons:

    • Reputation and Experience: Since its founding in 1836, Legal & General has established a solid reputation for reliability, trustworthiness, and financial stability.
    • Comprehensive Financial Services: The company offers a broad spectrum of financial products, from insurance to investments, providing a one-stop-shop for financial management.
    • Insurance Expertise: Known for its strong presence in the insurance sector, Legal & General offers life insurance, critical illness coverage, and home insurance, designed to offer financial security and peace of mind.
    • Investment Management: With a team of experienced professionals, Legal & General provides asset management services tailored to various risk profiles and financial goals, offering valuable investment opportunities.
    • Retirement Solutions: The company offers expert services and solutions for retirement planning, including annuities and pension fund management, to maximise your retirement savings.
    • Strong Customer Support: Legal & General is committed to excellent customer service, with dedicated support teams ready to assist with queries and financial needs.

    Remember, when considering any financial service provider, it is essential to evaluate your specific needs, compare offerings from different companies, and seek professional advice where necessary.

    What Are the Pros and Cons of Choosing Legal & General for Equity Release?

    Pros include: 

    • Reputation and Experience: Legal & General stands as a reputable stalwart in financial services, assuring customers with its longstanding industry presence.
    • Comprehensive Services: Offering an array of services, including insurance, investment, retirement planning, and equity release, Legal & General caters to diverse financial needs.
    • Insurance Expertise: Known for a wide range of insurance products like life, critical illness, and home insurance, ensuring financial protection and peace of mind.
    • Investment Management: Catering to various investors, Legal & General provides multiple investment options, including funds managed by seasoned professionals, addressing different financial goals and risk profiles.
    • Retirement Solutions: Specializing in retirement planning, Legal & General offers annuities and pension schemes to aid individuals in optimizing their retirement savings.

    Cons include: 

    • Limited Global Presence: Legal & General focuses mainly on the UK, which might restrict product and service access in other regions.
    • Pricing and Fees: Costs vary by service, so customers should review fees to match their financial goals.
    • Market Dependency: Economic conditions and market changes can affect investment values and returns.
    • Individual Suitability: Products may not suit everyone; professional advice and personal financial assessment are recommended.

    What Equity Release Services Are Provided by Legal & General?

    Equity release services provided by Legal & General to individuals, families, and businesses include insurance, mortgage services, and savings and benefits. 

    Key services provided by L&G include:

    • Insurance
    • Investment management
    • Retirement solutions
    • Mortgage services
    • Workplace benefits
    • Savings and investments

    What Equity Release Schemes Are Available Through Legal & General?

    The equity release schemes available through Legal & comprise two main types: Flexible Lifetime Mortgage and Optional Payment Lifetime Mortgage.

    What Is a Flexible Lifetime Mortgage From Legal & General?

    A flexible lifetime mortgage from Legal & General is a type of lifetime mortgage that allows homeowners to access the equity in their property while retaining ownership. 1

    Key features of this scheme include:

    • Loan Amount: Homeowners can borrow a lump sum or access a pre-approved reserve for flexible funding.
    • Repayment Flexibility: Borrowers can accumulate interest to be repaid later or make voluntary payments to reduce interest.
    • Interest Rate Choices: Offers both fixed and variable rates, catering to different financial preferences.
    • Inheritance Protection: Includes options to safeguard a portion of the home’s value for heirs.
    • Equity Release Standards: Meets Equity Release Council standards for consumer protection.

    How Does the Optional Payment Lifetime Mortgage Work?

    The optional payment lifetime mortgage by L&G allows homeowners to pay some, or all, of the monthly interest, reducing the impact of interest accumulation on the loan balance, with the principal repaid from the property’s sale in the future. 3

    What Are the Key Features of Legal & General’s Equity Release?

    Key features of Legal & General’s equity release include competitive interest rates, inheritance protection, the possibility to make voluntary payments, and a range of plans to suit different financial situations and goals.

    Some common features:

    • Lump Sum Access: Both schemes offer a lump sum equity release for immediate funding needs, like home renovations or retirement income.
    • Ownership Retention: Homeowners keep ownership and can live in their property until death or long-term care entry, following the scheme’s terms.
    • Repayment Options: Flexible repayment allows deferring payments until moving or passing, or making voluntary payments under the Optional Payment scheme to reduce interest.
    • Interest Rates: Fixed and variable rate options are available, catering to different financial preferences.
    • Inheritance Protection: The Flexible Lifetime Mortgage includes an Inheritance Protection Guarantee, securing a portion of the property’s value for heirs.
    • Equity Release Council Compliance: Adheres to Council standards, ensuring lifelong residence rights, no negative equity guarantee, and property transferability.

    How Are Interest Rates and Fees Structured for Legal & General’s Equity Release Plans?

    Legal & General equity release rates are structures with fixed and variable interest rate options for their equity release schemes. 

    Fixed Interest Rate:

    With a fixed interest rate, the interest charged on the equity release loan remains constant throughout the loan term.

    This gives homeowners certainty and allows them to plan their finances accordingly since they know the exact interest rate they will be paying throughout the loan.

    Fixed interest rates can be beneficial in a rising interest rate environment, as they protect borrowers from potential rate hikes.

    Variable Interest Rate:

    With a variable interest rate, the interest charged on the equity release loan can fluctuate over time.

    The variable rate is typically linked to an external reference, such as the Bank of England’s base rate5 or the London Interbank Offered Rate (LIBOR),6 plus a fixed margin determined by the company.

    Changes in the reference rate or the fixed margin can cause the interest rate to go up or down.

    Variable interest rates offer the potential for lower rates initially, but there is the risk of rates increasing in the future.


    The Equity Release Council’s standards dictate that if the rate is variable, it must be capped for the entire duration of the loan.7

    What Fees Are Associated With Legal & General Equity Release?

    Fees associated with Legal & General equity release schemes typically include arrangement fees and solicitor fees. 

    However, it is important to note that specific fees may vary based on the type of equity release product, individual circumstances, and prevailing market conditions. 

    An overview of the typical fees associated with Legal & General’s equity release schemes:

    What Arrangement Fees Does Legal & General Charge?

    ​​Legal & General may charge an arrangement fee for setting up an equity release scheme. 

    This fee covers the administrative costs and processing of the application. 

    The exact amount of the arrangement fee can vary, and it is typically payable upon completion of the equity release plan.

    How Much Are Solicitor Fees for Legal & General’s Equity Release?

    Solicitor fees for Legal & General’s equity release vary, but customers should expect to pay for such legal advice, typically ranging from several hundred to over a thousand pounds, depending on the complexity of their case.

    These fees cover the services the solicitor provides, such as reviewing the legal documentation, conducting property searches, and ensuring all legal requirements are met. 

    The solicitor fees are paid directly to the solicitor and can vary depending on the complexity of the case and the solicitor’s rates.

    What Are the Current Interest Rates for Legal & General’s Equity Release?

    The current and specific interest rates for Legal & General’s equity release will depend on various factors, such as the loan amount, the chosen equity release scheme, the borrower’s age, and the prevailing market conditions at the time of the application.

    Interest rates are a crucial component of equity release schemes, as they determine the amount of interest charged on the borrowed funds. 

    The interest rates can be either fixed or variable, as discussed earlier. 

    What Feedback and Regulatory Compliance Does Legal & General Have in the Equity Release Market?

    Legal & General receives rather mixed feedback for its equity release services, though maintaining high regulatory compliance within the market and ensuring trust and reliability.

    What Do Customer Reviews Say About Legal & General Equity Release?

    Customer reviews about Legal & General are mixed across various platforms.

    Many people have taken to these review sites to voice their below-standard customer service experiences.

    However, it’s encouraging to know that Legal & General has responded to every negative review in an effort to make things right.

    Ratings from the top review sites:

    • UK Trustpilot Reviews for Legal & General9
    • Customer reviews for Legal & General on Reviews.io10

    How Does Legal & General Handle Customer Complaints?

    Legal & General handles customer complaints through a structured process, aiming for swift resolution and customer satisfaction while adhering to regulatory standards and guidelines.

    Complaints can be lodged by email, letter, or phone.

    For complaints related to equity release, please contact the retirement department using the following contact details:

    • Email: 
    • Letter: Legal & General Home Finance, PO BOX 17225, Solihull, B91 9US.
    • Phone: 03330 048 444 Option 2, Option 1, 9am to 5pm, Monday to Friday. Phone calls may be monitored and recorded.

    If the complaint is not resolved to the customer’s satisfaction, Legal & General provides information on further steps that can be taken. 

    This may involve escalating the complaint to a higher level within the company or seeking external resolution through relevant regulatory bodies or ombudsman services.

    What Are Legal & General’s Regulatory Credentials?

    Legal & General’s regulatory credentials include strict adherence to Financial Conduct Authority (FCA) guidelines, ensuring their equity release products meet high standards for fairness, transparency, and customer protection.

    Trading Names

    Legal & General Home Finance Limited

    FCA Permitted Services

    • Banking
    • Insurance
    • Consumer Credit
    • Pensions
    • Investments


    Financial Conduct Authority (FCA)11

    Prudential Regulation Authority (PRA)12

    Registration Numbers

    FCA Ref Number: 303418

    Companies House Number: 04896447

    FCA and Companies House Link

    FCA Link: FCA Link

    Companies House Link: Companies House Link

    What Are the Contact Details for Legal & General?

    You can contact Legal & General by phone, email, or post. 

    It’s contact details are as follows: 

    • +44 033 3004 8444
    • 4th Floor, Chadwick House, Warwick Road, Solihull, West Midlands, B91 2AA.

    Is Legal & General Compliant with Equity Release Council Standards?

    Yes, Legal & General is compliant with Equity Release Council standards, which ensures a high level of consumer protection and product standards.

    Their adherence to these standards means all their equity release products come with important safeguards, such as the no negative equity guarantee, ensuring you or your estate will never owe more than the value of your home.

    This compliance underscores Legal & General’s commitment to providing safe and ethical equity release options to their customers.

    Frequently Asked Questions About Legal & General Equity Release

    What Is the Process for Equity Release With Legal and General?

    What Risks Are Involved With Legal and General Equity Release?

    What Steps Are Needed to Apply for Legal and General Equity Release?

    Where Can I Find Reviews for Legal and General Equity Release?

    Does Legal and General Participate in the Equity Release Council?

    Is Legal and General's Equity Release Safe?

    Concluding Insights on Legal & General Equity Release in 2024

    Legal & General is a reputable and well-established financial services company that offers a range of products and services, including equity release.

    Its equity release schemes are authorised and regulated in the UK by the Financial Conduct Authority and adhere to the standards set by the Equity Release Council. 

    If you are considering equity release, it is vital to evaluate your financial situation, understand the terms, fees, and rates, and consult with a financial advisor. 

    Doing so ensures you make a well-informed decision that aligns with your financial objectives when considering Legal & General’s equity release offerings, and deciding if they offer the best equity release plans for you.

    The features mentioned and the amounts raised, are subject to the lender’s criteria, terms and conditions. These may take into account the age, health and lifestyle factors in order to provide an enhanced amount. To understand the features and risks, ask for a personalised illustration.

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