Our Customer Vivienne Transforms Her Retirement
Our retirement specialist Fiona Navarro chats to channel 9 host Paul about the impact COVID-19 is having on the health and financial wellbeing of retired Australians. Self-funded retirees, such as our customer Vivienne, were particularly hard hit. Vivienne explains how she was able to draw on her Household Capital to improve her retirement funding.
Paul: Well, it’s a challenging time for retirees. Not only are there health concerns, but the pandemic is also taking a toll on their finances. Interest rate’s lower. Dividend’s cut. Super balance’s down. Rental income slashed. Pension unchanged. Now, Fiona, I hear retirees aren’t doing it tough. You speak with retired Australians every day. What are you hearing?
Fiona: Yeah. Paul, even before the pandemic, many older Australians were worried about how they’d live well for 20-plus years in retirement. And whether retirees are self-funded, solely reliant on a pension or something in between, the people we speak to are worried about their retirement funding, but they don’t need to be.
Paul: Yeah. Fiona, how can Household Capital help Australia’s retirees?
Fiona: So, Paul, now you can use the wealth in your home, your household capital, to improve your retirement funding. Home can be both the best place to live and the right way to fund your retirement. We want Australians to get through retirement in good shape, irrespective of what’s going on in the financial markets.
Paul: Well, let’s cross to one of the many retirees using their household capital to fund their lifestyle.
Vivienne: Hello, there. I have been very lucky to have just received my first payment from Household Capital, and I’m really, really thrilled. I wasn’t sure if I was even eligible for such a thing as a reverse mortgage. I’ve done a fair bit of research on this from my coach, from other advisors. We’ve been to see the people at centrelink. They said it’s not going to affect my pension.
Vivienne: I was really concerned that I wouldn’t have enough money to enjoy my life over the next 10 years. And this has been a really great boost. It has given me enough money. I can have a little play. I could help my grandchildren if I need to. I’ve fixed up a lot of things in my own apartment already. I feel really good about that. The help I had from Household Capital was brilliant. They sent someone around to talk to me. I didn’t feel like an idiot. She sat down and she explained things very, very comfortably and easily to me. So I didn’t feel that I didn’t know what I was doing. So thank you very much. I’m thrilled that I had this extra money and I don’t have to worry anymore.
Paul: It’s so good to see people of all ages using technology, Fiona.
Fiona: Yes. Most of our customers connect with us in-person via Zoom, something they did before the pandemic. And we found that most retirees have a computer or a tablet and we’re able to engage with them online.
Paul: Yeah, that’s great. So tell me how else are retirees using their household capital?
Fiona: Well, Paul, each retiree has the flexibility and choice to use their household capital to meet their own personal needs. They might need a regular income or capital or both. And we’re seeing more retirees with mortgages. We can help by refinancing debt to improve cash flow. Capital might be needed to modify the home, pay for medical costs or for contingency fund for those unexpected expenses. And our funding for in-home or residential aged care gives older Australians choice and flexibility when it comes to their care needs. And finally, some of our customers are really well set up for their own retirement and they use their household capital to be the Bank of Mum and Dad, to help their kids pay for their home or grandkids’ education.
Paul: And so how can retirees apply to access their household capital?
Fiona: It’s an easy three-step process. So firstly, people can use our simple online calculator to see whether they’re eligible and how much household capital they can access. The second step is a Zoom meeting with one of our retirement specialists. Personal one-on-one service is really important to us. And the third step is the application process, and there’s always someone available to help along the way.
Paul: And Fiona, what sets Household Capital apart from others?
Fiona: We offer Australia’s lowest rate reverse mortgage. That comes with personalized service and a focus on responsible lending. We want to help people improve their long-term retirement funding. Australians feel safe in their home, and we want them to feel safe in their retirement too.
Note: This advertisement was filmed before Covid-19 restrictions