My parents have one of these with Norwich Union.
We did not know they had taken it out.
My parents are now concerned that there will be v little inheritance for us as the interest on the loan grows & house values drop.
Are these loans reversible - if money could be sourced to pay NU back now - can the loan be terminated? Or are they fixed until sale of the house or death?
I have looked on NU website & it implies that loans such as these should be discussed with children /inheritors of family estates before embarking on them & that they wil discuss issues with those who may be affected.
We had no knowledge of the loan etc ( although understand my paretnts may not have wanted us to know about it)
If we had known about their intentions then we would have strongly disagreed & would have tried to find another way of sourcing money for them.
Think the equity release has been in place about 6 years.