Retirement Advantage has added Lifestyle Lite to its Lifestyle Options product range, with the monthly interest rate on the new product at 3.92%.

The new Lifestyle Lite product shares similar features to Retirement Advantage’s other Lifestyle Options products, Lifestyle Gold and Lifestyle Platinum. These options provide customers with a one-off cash lump sum payment, and rather than making interest payments, the interest rolls up and is added each month to the Lifetime mortgage which is secured against the customer’s home.

Lifestyle Lite comes with an optional cash reserve facility (costing an additional 20 basis points), and the Early Repayment Charge is fixed for the first eight years. Its Monthly Interest Rate (MER) is 3.92% and its Annualised Interest Rate (AER) is 3.99%.

Alice Watson, head of marketing at Retirement Advantage Equity Release, said: “We’re delighted to be launching this enhancement to our Lifestyle Options range, with our lowest ever interest rate. This range has proven popular with advisers and customers alike since it launched earlier this year. They tend to go down particularly well with people who like the certainty and piece of mind that comes with receiving a cash lump sum but not having to make any interest payments.

“We listen closely to advisers and customers as part of our commitment to constantly looking for ways to innovate and enhance our products. We’re confident that this addition to our product range will appeal to a broad range of consumers looking for ways to maximise their retirement income – whether it be to make home improvements, take the trip of a lifetime or help family members through University or onto the housing ladder.”