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Anything that gives more access to RIOs is a good thing – Star Letter 06/08/2021

Shekina Tuahene
Written By:
Posted:
August 6, 2021
Updated:
August 6, 2021

Each week Mortgage Solutions and its sister title Specialist Lending Solutions pick the top comments from our readers.

 

This week’s comment was from Scott Taylor-Barr, in response to the article: RIO affordability barriers solved with life cover, says LiveMore 

He said: “This is certainly a great innovation and a sensible way to get more people through the retirement interest-only (RIO) affordability rules.” 

 

Life cover eligibility 

“My only initial concern would be how many people could get life cover, given age and potential medical issues, up to age 90 at a cost that is both affordable to them and still allows them to pass the lenders affordability? 

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“That being said, anything that potentially allows more people to access RIOs is a good thing. I hope it catches on and I hope that life companies take note and move to help too.”