Originally launched in 1991, the Equity Release Council (ERC) is an organization supported by major providers of Equity Release in the UK. It was created to promote safe capital release products and to safeguard the interests of homeowners. The Equity Release Council (the Council) was created to protect your interests as a homeowner and to promote high standards in the capital release sector. As members, we work together with the Council and other industry experts to build understanding and trust in the industry.
Laura started working in financial services on a learning plan with St James's Place, since leaving the learning plan she has been working with Equity Release Council as an administrative assistant. To find out if an advisor or supplier is a member of the Equity Release Council, you can use the Equity Release Council member search. The role played by the Equity Release Council is to regulate legitimate capital release companies that are located in the United Kingdom and to protect the interests of the homeowner. Sarah is the administration and services manager for the Equity Release Council and handles all aspects of the membership process, incorporating new members and dealing with renewals and any membership queries.
You can use a capital release advisor that the provider recommends or your own independent financial advisor, although they must be authorized by the FCA and have the correct capital release certification. However, to help provide some peace of mind, the Equity Release Council ensures that all products provided or recommended by its members come with a non-negative capital guarantee. This includes advisors, providers and lawyers, along with affiliates and associates participating in the stock release market. In addition, working independently of the FCA, is the Equity Release Council, which requires its members to maintain their own set of guidelines and standards.
The “No Negative Equity Guarantee” is a clause of the Equity Release Council that guarantees that you, or your estate, ³ will never owe more than the value of the property when it is sold. The capital release council protects you by ensuring that lenders offer fair plans that benefit both parties. These rules and safeguards have allowed the industry to grow, giving financial advisors and their customers confidence in products, dispelling myths about releasing capital, and educating the public about the potential of accessing their household wealth for a variety of uses. The Equity Release Council is a body formed in 1991 that oversees the capital release industry, ensuring a high level of products and the protection of homeowners who release capital from their equity.
Advisors are central to the process of considering, evaluating and entering into a capital release contract and their advice is a requirement of the Financial Conduct Authority. Talking to an advisor is also important if you receive benefits with resource control because you may find that releasing capital affects your entitlement. Affiliated companies interested in the UK stock market, such as Equitable Bank, a rival Canadian bank, are affiliate members (a new bank that challenges older banks). You can verify that an advisor, provider or lawyer is a member of the Equity Release Council by searching for members.