Nationwide Equity Release Reviews (Updated 2022)

Is Nationwide Equity Release the Best for You?
Contributors: Nicola Date, Katherine Read. Edited by Rachel Wait & Reviewed by Francis Hui
Are You Considering Nationwide Equity Release for Your Retirement? Understand the Pros, Cons, Fees, Interest Rates & Equity Release Plans. We’ve Got the Scoop Here.

Looking into Nationwide equity release?

With almost 24,000 retirees releasing equity between January and March this year, the quarterly record has been surpassed. 

Can you afford to remain on the sidelines as equity release becomes more popular as a means of funding everyday costs and significant life events in retirement? 

The first step towards that financial freedom is finding a trustworthy provider. 

As experts in our field, we discuss the following in this article:

    Our financial journalists have researched Nationwide and its equity release offerings to provide an honest and current review. 

    Read on to find out if it’s the provider for you! 

    Before You Start Reading….

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    Who’s Nationwide 

    Nationwide is the world’s largest building society, the UK’s second-largest mortgage provider and the country’s largest savings provider. 

    As a mutual financial institution1, Nationwide has over 15 million members and a big reputation to uphold.

    Does Nationwide Offer Equity Release?

    Yes, Nationwide offers equity release through its lifetime mortgage and retirement mortgage offerings. 

    The 3 options to choose from are:

    With its lifetime mortgage, you’ll be able to access money tied up in your home as a tax-free amount of money.

    Throughout the duration of your loan, your interest rate remains fixed, and you will only be required to make monthly payments if you choose to.

    Its retirement mortgage options allow you to borrow money up to a higher age than standard mortgages. 

    However, you’ll be required to pay back the interest or the interest and capital monthly with these mortgage options. 

    Nationwide is a member of the Equity Release Council2 and its equity release plans are regulated by the Financial Conduct Authority (FCA)3

    Nationwide’s Equity Release Plans

    Nationwide’s equity release offering includes a lifetime mortgage, a retirement interest-only (RIO) mortgage and a retirement capital and interest (RCI) mortgage. 

    Let’s look at these options in a bit more detail. 

    Lifetime Mortgage

    Available to UK mortgage holders between 55 and 95 years of age, Nationwide’s lifetime mortgage will run for the rest of your life. 

    With no monthly repayments, the loan and interest will be paid back when you pass away or move into long term care, and your house is sold. 

    Retirement Interest Only 

    If you’re between 55 and 95 years of age and have an existing mortgage, you could qualify for a retirement interest-only mortgage. 

    With this type of mortgage, the principal debt is only repaid once you pass away or move into long-term care. 

    As the name implies, the interest is paid off monthly, thus preventing the loan from growing to an unmanageable amount. 

    The maximum amount that you may borrow is £500,000.

    Retirement Capital & Interest

    The retirement capital and interest mortgage works in much the same way as a standard mortgage, where the interest and the capital are repaid monthly. 

    Again, you would have to be a mortgage holder between 55 and 95 to qualify. 

    The maximum amount you may borrow is £500,000 with monthly repayments due from the get-go. 

    Other Services

    Besides the equity release options available at Nationwide, you can also take out loans, make investments and open current or savings accounts. 

    Services offered by Nationwide include:

    • Loans.
    • Investments.
    • Current Accounts.
    • Savings & ISAs4.
    • Credit Cards.
    • Insurance.
    • Mortgages.

    Why Consider Nationwide?

    You should consider Nationwide as a lifetime mortgage provider because of its features, such as a no-negative equity guarantee, downsizing protection, fixed interest rates, and more. 

    Here is what each of these features means. 

    Feature #1 No Negative Equity Guarantee

    Equity Release Council members are obligated to include a no negative equity guarantee in its plans. 

    This means that should your home ever decrease in value to such an extent that its sale won’t cover your equity release loan, the provider will have to write off the shortfall. 

    In other words, your beneficiaries and your estate will never have to pay more than the value of your home. 

    Feature #2 Downsizing Protection 

    The downsizing protection feature means that if you wish to relocate to a home that doesn’t meet Nationwide’s lending criteria, you will be able to settle your loan in full without incurring any early repayment penalties.

    This protection will only come into play 5 years after the initial loan.

    Feature #3 Fixed Lifetime Interest Rate

    Nationwide’s equity release plans feature a fixed interest rate for the rest of your life, protecting you from any possible interest rate hikes. 

    Feature #4 Maximum Loan Amount

    The amount of equity you can release with a Nationwide plan will depend, in part, on your age. 

    A maximum lending limit is set at £1 million for UK residents and £515,000 for those living in Scotland or Wales. 

    Feature #5 Flexible Repayments

    Nationwide’s flexible repayment feature means you’ll be entitled to make yearly voluntary repayments of up to 10% of your lifetime mortgage without incurring early repayment penalties.

    All early repayment charges will fall away once your lifetime mortgage reaches 15 years.

    Nationwide Equity Release Pros & Cons

    Nationwide equity release options have the advantage of fixed interest rates, downsizing protection and no valuation fees, but only if your property and locations are acceptable. 

    Let’s look at these in more detail. 

    Advantages of Nationwide Equity Release Plans

    • No product of valuation fees
    • £1,000 cashback on completion of your signup. 
    • No negative equity guarantee
    • You can pay back up to 10% of the loan every year without incurring early repayment charges. 

    Disadvantages of Nationwide Equity Release Plans

    • Grade 1 or 2 listed properties or sheltered accommodation are not considered suitable properties. 
    • You cannot apply if you are on shared ownership or Right to Buy schemes. 
    • You are not eligible for a Nationwide mortgage if you live on the Isle of Man, Isles of Scilly, Channel Islands, Northern Ireland or non-mainland Scotland.
    • If your property value allows it, you cannot borrow the maximum of £1 million if you live in Scotland or Wales. 

    Who’s Eligible for Nationwide’s Equity Release Scheme?

    You’ll be eligible for a Nationwide equity release plan if you meet the following requirements:

    • You’re aged between 55 and 84 (or 94 if you have an existing Nationwide mortgage).
    • You’re borrowing against your primary residence.
    • You live in the UK.
    • You live in a standard property deemed acceptable by Nationwide.

    Nationwide Fees & Charges

    There are no valuation, product or advice fees associated with Nationwide’s lifetime mortgages. 

    If you do sign up for a Nationwide equity release plan you will receive a £1,000 cashback payment which you could use towards independent legal advice. 

    Nationwide Equity Release Interest Rates

    Nationwide’s interest rates range between 2.78% and 4.52%. 

    The interest rate applied to your lifetime mortgage will depend on your age and the total value of your property and will remain fixed for the duration of your loan. 

    Is There a Nationwide Equity Release Calculator?

    The Nationwide equity release calculator doesn’t exist at this time; however, you can use one of the online calculators provided by alternative lenders to get an idea of how much equity you could release from your home.

    You can also contact one of Nationwide’s later life consultants, who’ll run through the available plans with you.

    Before You Start Reading….

    Let’s See How Much You Can Release 👇

     

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    Nationwide Reviews & Ratings

    Nationwide has received abysmal online reviews, with its overall rating reaching an average of 2.4 stars out of 5. 

    Nationwide Complaints

    In reviews, some customers find the company untrustworthy, unprofessional, and inflexible in helping them in times of need. Customer support is viewed as poor, with numerous examples of terrible customer service.

    Nationwide FCA Details

    Nationwide is regulated by the Financial Conduct Authority (FCA), which ensures that consumers are protected and treated fairly. 

    Here are Nationwide’s FCA details.

    FCA Address

    Nationwide House

    Pipers Way

    Swindon

    Wiltshire

    SN38 1NW

    UNITED KINGDOM

    Trading Names

    • Nationwide for business
    • Nationwide International
    • Nationwide Financial Solutions
    • The Derbyshire
    • Dunfermline Building Society
    • Dunfermline Direct
    • Cheshire Building Society
    • Derbyshire Building Society
    • Derbyshire Direct
    • Nationwide UK (Ireland)
    • Nationwide Building Society
    • Nationwide for Business
    • Nationwide International
    • KPR Debt Collection
    • Salt Commercial

    FCA Permitted Services

    • Banking
    • Insurance
    • Mortgages & Home Finance
    • Consumer Credit
    • Pensions
    • Investments

    Registration Numbers

    • FCA Ref Number: 106078
    • FCA Reg Number: 0000355B

    Nationwide Contact Details

    • Nationwide Contact Number

    +44 0345 730 2011

    • Nationwide Head Office

    Nationwide Building Society

    Nationwide House

    Pipers Way

    Swindon

    SN38 1NW

    Nationwide Jobs

    Nationwide advertises jobs5 on its website for roles across all of its branches in the UK. 

    The roles available fall into the following categories:

    • Tech Talent.
    • Head-Office Roles.
    • Customer Support. 
    • Early Careers.
    • Temps & Contractors.

    How Did We Review Nationwide?

    A dedicated team of professional researchers has combed through the mountains of information available on Nationwide. 

    Through their expertise and extensive knowledge, we have put together this consolidated review. 

    We are in no way associated, affiliated or endorsed by Nationwide.

    Common Questions

    Who Owns Nationwide?

    Does Nationwide Belong to the Equity Release Council?

    Does Nationwide Do Equity Release?

    Is Nationwide Equity Release Safe?

    In Conclusion

    Nationwide is a large company with over 15 million members. Founded in 1884, it has, no doubt, weathered several storms. 

    Although its online rating leaves a lot to be desired, determining whether Nationwide is the best provider for you cannot be done by reading a review. 

    We highly recommend contacting a whole-of-the-market financial advisor who can give you unbiased advice on which provider and plan will best suit your financial circumstances and goals. 

    Nationwide equity release could be the best option for you.

    Before You Go…

    Use the FREE Calculator Below 👇

     

    Equity Release Calculator

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    It’s VERY FAST, takes just 8 seconds

    Editorial Note: This content has been independently collected by the EveryInvestor team and is offered on a non-advised basis. EveryInvestor may earn a commission on sales made from partner links on this page, but that doesn’t affect our editors’ opinions or evaluations. Learn more about our editorial guidelines.