Long-Term Care

Long-term care

At more2life, we understand that transitioning to long-term or residential care can be a challenging experience, with various concerns to address. We want to ease your burden.

Our guide is designed specifically for those impacted by a loved one's move to long-term care. Through this, we strive to provide the necessary support and answers you need during this difficult period, making the financial aspect of the process more manageable for you. Download it by clicking the button below.

Download guide

Things to consider

A lifetime mortgage is a loan secured against your home

A lifetime mortgage will reduce the value of your estate and may affect your entitlement to means-tested benefits

With a lifetime mortgage, there are typically no monthly repayments, as the loan plus roll-up interest, is repaid when the plan ends. This is usually when you, or the last remaining applicant, either passes away or moves into long-term care

A lifetime mortgage may result in limited or no property equity remaining and will reduce your financial options in the future

What is meant by long-term care?

Long-term care is defined as the transition into, usually residential care, indefinitely, with the expectation to not return to your home and require 24-hour care. This does not apply to living in sheltered or warden supervised accommodation. We kindly request to be informed if an applicant enters long-term care.

How do I notify more2life?

When either applicant enters long-term care, we’ll require an official letter from the care home confirming the date of this change and that they’re expected to remain in their care indefinitely. You can notify us of this change by post to the address below, referencing the account holder’s name and the account number (if known).

more2life
PO Box 1168
Preston
PR2 0GB

For those wishing to notify us via email, please contact [email protected], referencing the account holder’s name and account number (if known). Please note that the care home’s official letter must be sent to the address above.

Alternatively, for assistance please call 03454 150 150 and our servicing team will be able to help you.

Does this apply to joint cases?

If you’ve taken out a joint lifetime mortgage, as a couple, we’ll still need to be informed if one of you enters long-term or residential care, while the other remains living at home.

Notifying us can be done following the same process above. If you are notifying us but you are not the plan holder, we will require a Letter of Authority or Lasting Power of Attorney to confirm you have the authority to act on the plan holder's behalf alongside your certified ID. This can include, but is not limited to, a photo card driver's licence or passport. However, if the person remaining at home is notifying us, this won’t be necessary as we will confirm your identity over the phone.

We won’t make any steps to redeem your loan at this stage, but if the remaining applicant living at home wishes to repay the loan in full, they can do so without incurring early repayment charges (ERCs) for up to three years after the date of the first applicant's entry into long-term care if the loan is still within the ERC period.

What happens if I move to live with family for care reasons?

If you, or both applicants decide to live in the long-term care of family, rather than in a care home, we may still consider redeeming your loan without ERCs, but this will be assessed on a case-by-case basis.

In this scenario, rather than providing a letter from a care home, we’ll need a report from your GP including the move date and confirming that you’re moving to live with family for the purpose of requiring indefinite 24-hour care. Please also include your full name and account number.

The above information may be sent to us via post to the address above, or via email if you prefer.

How do I notify you on behalf of someone else?

For applicants unable to notify us, someone with a Letter of Authority or Lasting Power of Attorney can do so instead. They’ll need to provide the original/certified copy of their Letter of Authority/Lasting Power of Attorney and their identification, all of which can be posted to the address above.

Any original or certified copies of ID will be returned to you as soon as possible via Tracked Royal Mail. We recommend sending any original/certified ID via Special Delivery only, for increased security.

At the time of the last remaining applicant entering long-term care, we will collate and confirm all evidence before arranging closure of the account and redemption of the loan through sale of the property. Alternatively, if you wish to keep the property or sell to another family member, you have the option to repay the loan in full without incurring ERCs at this time. Until the loan is redeemed in full, it will continue to be subject to compound interest.

Change in circumstances: Long-term care