Lifetime Mortgage Early Repayment Charges

Lifetime mortgages are intended as long-term borrowing, so repaying one early can result in an early repayment charge (ERC). The method and duration vary between products.

Fixed ERCs

Some plans use a known schedule where the maximum charge reduces over a set number of years. This can make the potential cost easier to understand in advance.

Other charging structures

Some products use different calculations or offer shorter ERC periods. There can also be exemptions in specified circumstances, depending on the plan.

Partial repayments

Many plans allow a stated amount to be repaid voluntarily without an ERC. The exact allowance should be checked in the product terms before paying more than the permitted amount.

Reviewed by David Farrell. Last reviewed: 3rd October 2026.