Household Capital Helps Australians Improve Retirement Lifestyle
Our retirement specialist Fiona Navarro has a follow up chat with Paul, host of Channel 9’s Mornings. Since their initial discussion, an increasing number of retired Australians have sought help to improve their retirement funding and, ultimately, enjoy a better retirement lifestyle. Our customer Maxine shares her experience and talks about the difference home equity has made to her life.
Paul: Well, 2020 has been a challenging year, especially for Australia’s retirees. Now, not only are they isolated and worried about their health, but the pandemic has also affected retirement finances. Morning, Fiona, tell us how are Australia’s retirees coping in 2020?
Fiona: Well, Paul, even before the pandemic, many older Australians were worried about how they’d live well for 20 plus years in retirement. And whether self-funded, solely reliant on their pension or something in-between, the people we speak to are worried about retirement funding, but they don’t need to be.
Paul: Okay. Well, tell me Fiona, how can Household Capital help retirees?
Fiona: Paul, retired Australians age 60 plus can use the wealth in their home, their Household Capital to improve their retirement funding. And we provide retirees with flexibility, and the choice to make decisions about their retirement lifestyle. We’ve worked with a lot of self-funded retirees this year, and they’re not getting much help from the government, even though their retirement income has crashed. And we’re also seeing older Australians who’ve lost their jobs in COVID, but they’re still trying to pay off their mortgage, and trying to make regular payments to the bank can be a big hit on retirement cash flow. It can be really stressful. We can help retirees to refinance traditional bank mortgages, and because regular payments aren’t required, it frees up their income. And if customers want to make repayments, of course they can, we offer the flexibility for them to do so when and how it suits them. And importantly, unlike a traditional bank mortgage, retirees have the comfort of lifetime guaranteed occupancy in the home they love. So the big difference now is that retirees homes can be both the best place to live and the right way to fund retirement.
Paul: Great new, Fiona, how else can household capital help?
Fiona: Well, you can draw on your household capital to provide a lump sum or an income, or a mix of the two. And some of our customers set up a loan from which they periodically draw capital as required, and others establish a regular income stream with fortnightly or monthly payments. And as well as mortgages, we are seeing a lot of retirees coming to us with other debts, such as personal loans and credit cards. And we can help also parents supporting their children who’ve lost their jobs or been adversely impacted by the pandemic.
Paul: Yeah, fantastic. Well, let’s cross to one of the many Australians who use their household capital to pay out personal debt and improve the quality of their retirement.
Maxine: What it means for my retirement, it will keep me surviving in these extremely unprecedented, tough economic times, because I haven’t worked for seven years. Yes, and I just find that it’s just so hard with the costs of living now, and even more so with the virus. It’s given me freedom. It’s taken the pressure off me. It’s given me my life back, and I’ve got freedom. I can do more. I can stay in my home for more years to come as I always thought that I would be.
Paul: What a great story, and so good to be able to see someone use their household capital in several important ways. Fiona, how can retirees access their household capital?
Fiona: It’s a really easy three-step process Paul. So firstly, people can use our simple online calculators to see whether they’re eligible, and how much household capital they could access. And the second step is to meet 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: Fantastic. And what sets household capital apart?
Fiona: Well, we offer Australia’s lowest comparison rate for any form of reverse mortgage. And that comes with personalized service, and a focus on responsible lending. We want to help people improve their long-term retirement funding, and Australians feel safe in their home, we want them to feel safe in their retirement.
Paul: Absolutely. Thanks so much Fiona. Your home can be both the best place to live, and the right way to fund your retirement. So what are you doing with your household capital? To try out those calculators, go to householdcapital.com.edu, or call 1 300 622 100.