Tel: 01234 270074
Twigden Asset Management Ltd does not offer mortgage advice and all enquiries are referred to our appointed representative King Associates.
King Associates can be contacted on (01234) 270074 option 2
or via email at firstname.lastname@example.org
How does it work?
You make two payments per month. One to the lender to repay the interest on your borrowings and another into a personal pension plan. The plan is to build up your pension fund sufficiently to take out enough tax free cash to repay the loan and provide you with a retirement income.
- Has tax advantages as the contributions you make to the pension attract tax relief at the highest rate of tax you pay.
- You must ensure your pension is well funded so that you have sufficient to repay your loan and provide for your retirement.
- The lump sum is currently accessible from age 55 onwards which may mean you are paying interest on the loan for longer than 25 years.
- There is a possibility that your pension fund may not have built up sufficiently to repay the loan capital at the selected retirement age.