This type of mortgage advance was taken out in conjunction with a special related insurance policy. More recently criticised, some policies will have been better than others. Under the scheme interest is paid regularly - monthly or quarterly - but the main loan remains outstanding until full repayment is due at the end of the term from the proceeds of the endowment policy. Most insurers will pay out a sum that exceeds the outstanding mortgage - although the actual bonus depends upon the success of the particular policy. Each individual case depends upon your age, income, status and tax position, but for most people the method can prove financially favourable.

These days there is a wide range of mortgage schemes and our specialist staff will always be able to put you in touch with up-to-date expert advice.