The new Tailored Enhanced and Tailored Lifetime plans will replace the lender’s current Tailored Plus and Tailored Lite plans respectively and will offer fixed ERCs, replacing the former gilt-based ERCs.
In the first year of loan, ERCs will start at 10 per cent before decreasing by one per cent each succeeding year for the first 10 years.
It will then remain at one per cent until the 15th year before dropping to zero per cent for the remainder of the term.
Applications for the current gilt-based Tailored Plus and Tailored Lite plans will be allowed for two weeks following the launch of the refreshed plans, until 11.59pm on Tuesday 18 August.
Further advances and drawdowns will still be available for existing customers with a Tailored plan who completed their initial advance on gilt-based terms.
Max loan value
More 2 Life has also updated the criteria across this range, with changes including an increase of the maximum loan amount from £600,000 to £800,000 for properties in England.
There is also a cash facility option available up to the maximum loan-to-value (LTV) minus the initial advance, subject to a maximum unused facility of £200,000.
Furthermore, properties with up to 30 per cent flat roof, thatched roofs or built with modern methods of construction will be considered and flats above or adjacent to commercial properties can be referred to the lender.
Stuart Wilson (pictured), corporate marketing director at More 2 Life, said: “Over recent years, product innovation has been a key driver in the growth of the equity release market as lenders seek to provide customers with an extensive range of options.
“More 2 Life is no exception and we are confident that the changes we are introducing to our Tailored range will be met with enthusiasm by the adviser community.”
He added: “While gilts can offer some customers a good deal depending on the timing of redemption, for borrowers who would like greater control over repayments – particularly in the current climate – the refreshed Tailored range will give them exactly that.”