As banks are shown to reward loyal customers with 'pitiful' returns, will Brits turn to equity release schemes?

12 January 2011

Loyal customers of UK banks are seeing their devotion rewarded with "pitiful" returns, according to a new report.

This could encourage a number of people aged over 55 years to use an equity release calculator to see how the value of their home could boost their finances.

A recently-published report by Which? has shown that 62 per cent of savings accounts that were available six years ago now offer just 0.1 per cent interest or less.

This is equivalent to just £1 for every £1,000 saved, the organisation explained.

Peter Vicary-Smith, Which? chief executive, said: "All too often, banks and building societies lure in savers with attractive rates of interest, then reward their loyalty by quietly slashing rates to a paltry level later on.

"It's a scandal that banks seem to reserve the most pitiful returns for their most loyal customers."

Homeowners aged over 55 years who are curious about how the value of their property could boost their income can find out by calling Key Retirement Solutions for equity release advice.

Posted by Claire Ford