As you enter into retirement the pressure of financial worries may seem overwhelming and this can often cause you to feel that your options are limited in terms of ways in which you can access the equity within your home. It is important to realise that hundreds of companies exist offering hundreds of different equity release plans. Therefore rather than being forced to accept the first equity release plan you are offered you can take time to research the plan and work out which one is best for you.

The first thing to do is shop around. You can either do this yourself or use one of the comparison websites available. Look at factors such as the interest rates. If you were choosing where to keep your savings interest rates would play a paramount role in decision-making. Likewise they should be important in any decisions on equity release plans.

Remember that interest on an equity release plan is rolled up into the loan and therefore has a compound effect. Using price comparison websites to find the lowest interest rates is a good way to keep the growth of your loan balance as marginal as possible.

Also consider other options that are available as a means of releasing equity such as downsizing which can also have tandem benefits such as reduced household bills.

If you decide that an equity release plan is the best option for your needs then it is always advisable to seek independent financial advice. Do not just assume that the lower interest rates mean that a plan is better than another. Always read the small print and research the providers thoroughly. Get both providers to give you a personal financial illustration of what the plan will mean for you before you make any decisions. Remember this is your home and any decisions you make in regards to it should be fully informed.