This follows research from Equity Release Solicitors’ Alliance (ERSA) which found that 35% of equity release customers shopped for their product online.
Results taken from a survey of equity release customers found that 35% used the internet when shopping around for their equity release product. This came second only to taking equity release out on the back of seeing an advert (37%), highlighting the increasing popularity of the internet amongst the older generation, where the average age of an equity release client is 69. Of the other respondents, 21% said that they had a financial adviser already and 7% searched for a product following word of mouth recommendations.
IFAs should also ensure that providing correct and up-to-date advice to potential equity release customers is paramount, especially with the emergence of websites that claim to offer access to equity release advisers, solicitors and providers but do not distinguish whether these firms solely specialise in equity release or whether they are members of ERSA. Therefore IFAs must ensure that the information they pass to clients is both accurate and relevant.
Claire Barker, Chairman at ERSA, commented: “With high numbers of equity release customers opting to use the internet to source suitable products, the need for IFAs to increase or establish their own online presence is absolutely paramount. The importance of providing accurate advice and choice to clients is also heightened following the discovery of websites that do not always provide all of the information that clients need to make an informed decision. IFAs must ensure that their methods of accessing information are current, and if they are advising on equity release, IFAs should recommend that customers seek advice from an independent, specialist solicitor.”
