The sovereign products are available to borrowers in England, Wales and mainland Scotland aged between 55 and 90 with a minimum property value of £70,000. The elite range, for borrowers with high value properties, has a maximum age limit of 85.
Borrowers taking out a sovereign product will now be able to make up to 12 repayments within a year with no charges, provided the total amount repaid does not exceed 10 per cent of the full amount borrowed.
They can pay a minimum of £50 each time and a minimum outstanding balance of £1,000 must remain once repayments have been made.
Borrowers taking out a sovereign product can also now make direct debit payments.
The standard sovereign range offers loans between £10,000 and £725,000, while the elite products provide loans between £725,001 and £1m.
Products offer up to three per cent cashback, with a maximum loan to value of up to 52 per cent on standard products, and 38.5 per cent on elite products.
Brendan Gilligan (pictured), head of products at Pure Retirement, said: “In an age where customers are increasingly looking for flexible retirement solutions that can evolve with their circumstances, it’s gratifying to be able to offer ERC-free partial repayments on all of our products, and to widen the facility of direct debits, following the successful roll-out on classic products earlier this year.
“The ability to make no-obligation monthly payments via direct debit provides a great option for customers wanting to reduce the impact of roll up interest and it means the sovereign range should be considered as a real alternative to a traditional or retirement interest-only mortgage.”
