Saga Equity Release is one of the many services provided by Saga, a company specialising in meeting the financial needs of people over 50 years of age.

But is Saga the right choice for you when it comes to equity release?

As expert researchers we have done all the hard work for you by analysing Saga's equity release product, including its unique features, qualifying criteria, pros and cons, associated costs, and more.

Read our review here to find all the facts you many need to need for making the best choice for you.

NB: Fundweb is an unrelated and independent 3^rd-party provider, and the information provided in this article reflects the opinions of Fundweb only and may not represent the views of Saga. This article should not be construed as advice or as a solicitation to participate in any financial product offered by Saga.

What Are Equity Release Lenders?

Equity release lenders offer a financial approach designed for those in their later years, allowing them to unlock the dormant wealth in their property for various purposes.

Who Is Saga and What Is Its Role in Equity Release?

Originally founded in 1951 as a travel company, Saga expanded its services over 3 decades.¹ 

The establishment of Saga Equity Release was a response to a growing demand for equity release solutions targeted at individuals over 50. 

As a subsidiary of the long-standing Saga Group, it emphasises a personalised approach and transparency in its operations. 

Its inception was also made possible through collaboration with HUB Financial Solutions Limited, a member of the Equity Release Council.²

What Equity Release Product Does Saga Offer?

It offers equity release in the form of the Saga Lifetime Mortgage and although it is provided by Just, it is only available to Saga customers.

HUB Financial Solutions (part of the Just Group plc) acts as specialist equity release advisors on this product and charges a fee of £799.

What Is Unique About the Saga Lifetime Mortgage?

The Saga Lifetime Mortgage stands out with its:

• Money Back Guarantee within 6 months
• Its service promise to pay its clients £100 if their requested cash is not paid to their solicitors’ account within 40 working days. 

Please note that terms and conditions apply for each of these features.

Other features include:

• Having the option for monthly interest payments.
• The choice to take 3 consecutive, monthly payment holidays each year.
• Complimentary financial review and benefit impact analysis.
• The product is tailored to each client’s needs.
• Fixed interest rates
• No Negative Equity Guarantee
• Options for inheritance protection

What Is Saga's Equity Release Qualifying Criteria?

To be eligible for Saga's equity release:

• An individual should be over 55 years. 
• Wanting to unlock a minimum of £10,000, 
• With their residence valued at a minimum of £70,000.

Considering the Pros and Cons of Saga Equity Release

When exploring the pros, a big plus is having the option of a 6-month, penalty-free repayment opportunity if your financial circumstances should change.

However, it is also worth considering the downsides, and recognising that equity release may not be the right choice for everybody.

Exploring the Pros:

• Regulated by the Equity Release Council.
• Multiple loan options, including a lump sum or drawdown option.
• 6-month penalty-free repayment opportunity.
• Comprehensive free advice on equity release.

Exploring the Cons:

• Like all equity release products it may shrink your inheritance.
• The income from equity release may affect your eligibility for means-tested benefits.
• Accumulated interest can significantly increase the loan's total cost.
• Equity release is not the right choice for everybody.

How Does Saga’s Equity Release Work?

Saga Equity Release involves a process, which includes a certain number of steps. 

These 7 steps include:

1. Initial consultation: Engage with a Saga advisor.
2. Comprehensive assessment: Determine eligibility.
3. Tailored Recommendation: Receive a product recommendation.
4. Independent Legal Advice: Understand legal implications.
5. Application and Processing: Officially apply for the service.
6. Valuation and Offer: Get a property evaluation and formal offer.
7. Legal Completion: Finalise the process.

Does Saga Offer an Online Equity Release Calculator?

Yes, prospective clients can find an equity release calculator on Saga's official website.³

We also offer a free calculator, which you can try here.

What Costs Are Associated with Saga's Equity Release?

Saga does not impose setup or valuation fees.

However other potential costs include: 

• An application fee 
• Valuation fee 
• Solicitor's fees
• Lender's completion fee
• An advice fee
• Possible early repayment charges

What Are the Current Interest Rates with Saga?

Saga's interest are between 6.14% to 6.46%*

*While we regularly review our rates, these may have changed since our last update.

Learn More: Current Equity Release Interest Rates in the UK

Are There Other Services Offered by Saga?

Saga also provides other services.

These additional services include:

• Insurance options
• Holiday packages
• Care funding services
• Savings
• Saga Magazine

How Did We Review Saga?

We reviewed Saga based on the following:

• Standing the Test of Time: We champion businesses with proven longevity, marked by their operational years, accolades, and stellar customer feedback.
• Solid Financial Footing: The financial resilience of a company is pivotal for us; we seek those demonstrating the capacity to meet long-term pledges.
• Expansive Offerings: Our attention gravitates towards companies showcasing a rich array of equity release options, underscored by adaptability.
• Clear-Cut Costs: A competitive edge in interest rates between 6.14% to 6.46%* is noteworthy, especially when paired with an unwavering commitment to transparency and zero hidden fees.
• Dedication to Service: Accessible and swift support, coupled with a treasure trove of online materials (not forgetting handy tools like calculators), epitomizes excellence in customer service.
• Upholding Industry Excellence: Companies that resonate with established industry norms and ethical guidelines naturally earn our preference.
• Insights from Peers and Industry: The broader perception of a company, fortified by peer reviews, plays a substantial role in our evaluation.
• Embracing the Digital Age: A seamless online application journey is testament to a company's investment in modern tech and innovative approaches.
• Voices from the Ground: Real-life tales of satisfaction, alongside the efficiency in addressing grievances, give us a holistic view of the client-company relationship.

*While we regularly review our rates, these may have changed since our last update.

Customer Feedback on Saga

Saga's online reputation is mostly positive, reflecting a rating of 4.4 out of 5 based on 37,000+ reviews on TrustPilot.

Registering Customer Complaints with Saga

You can register complaints about Saga in a number of ways.

These include: 

• Contact us page on its website
• Phone: 0800 096 7120
• Posting reviews on customer review websites 

Regulatory Details

Saga Equity Release and Hub Financial Solutions are regulated by the Financial Conduct Authority (FCA).

It is also a member of the Equity Release Council (ERC).

Financial Conduct Authority (FCA)

Saga is one of nearly 50,000 businesses in the UK regulated by the Financial Conduct Authority (FCA)³ to ensure good conduct by the financial services sector. 

According to the FCA's records, the firm is registered as Saga Personal Finance Limited. 

It is permitted to provide financial services for insurance, mortgages and home finance, pensions, investments and other activities. 

Equity Release Council (ERC)

As a member of the Equity Release Council (ERC),⁴ the firm adheres to the industry body’s strict code of conduct to safeguard consumers.

Contact Details

You can contact Saga Equity Release in a number of ways:

• Phone: 0800 096 7120
• Request a callback
• Book an appointment with an adviser
• Writing: 3 Pancras Square, London N1C 4AG, United Kingdom.

Common Questions

Conclusion

Being a member of the Equity Release Council and features such as its No Negative Equity Guarantee and inheritance guarantee, makes it a safe and flexible way to access extra funds in retirement. 

However, as with any financial decision, it is crucial to consider all aspects, including the potential impact on your tax position and entitlement to state benefits. 

If you are considering Saga equity release, it is recommended to seek professional advice to fully understand the implications to determine if it is the right option for you.