LV= cuts equity release rates

The interest rate on LV='s lifetime mortgage for customers up to 80 years old has dropped to 6.19% AER from 6.39%. The flexible lifetime mortgage rate was cut to 6.39% (from 6.49%) for the same age range. Equity release specialist Hodge Lifetime also reduced the rate on its lump sum lifetime mortgage from 6.13% to 5.83% last week. Vanessa Owen, LV= head of equity release said the reason behind removing the higher rate on higher value loans was due to scale with higher value loans having less impact on their growing portfolio. She also said it was a result of demographic change. ...