Compare Clydesdale Bank Equity Release Quotes Against The Market

Clydesdale Bank is a historic name in British banking, particularly in Scotland. Today, it is part of the Virgin Money UK PLC group and is undergoing a major transition following the acquisition of the group by Nationwide Building Society in late 2024. Despite these corporate changes, Clydesdale continues to offer a competitive range of later-life lending solutions designed for homeowners who want to unlock the value of their property.

Clydesdale does not offer equity release products in the traditional sense, but does have a range of alternatives available. If you would like independent advice about their later life offering you can book a free, no-obligation chat with one of our specialist brokers below:

Who is Clydesdale Bank?

Founded in 1838 in Glasgow, Clydesdale Bank has a long-standing reputation for supporting both personal and business customers. Following its merger with Virgin Money, the bank has focused on offering innovative mortgage products. While much of its new business is now branded as Virgin Money, the Clydesdale brand remains active in 2025, particularly for its existing customer base and high-value borrowers.

What is Clydesdale Bank Equity Release?

Clydesdale Bank’s approach to "equity release" is primarily centered on Later Life Lending and Retirement Interest-Only (RIO) mortgages. They also facilitate access to traditional lifetime mortgages, often through the broader Virgin Money infrastructure or specialist partners.

Their core products for older borrowers include:

• Retirement Interest-Only (RIO) Mortgages: These allow you to borrow against your home and pay only the interest each month. The loan itself is typically repaid when you die or move into long-term care. This is a popular alternative to traditional equity release for those who have a stable pension income and want to keep their debt from growing.

• Bespoke Later Life Mortgages: For those who are still working or have complex retirement income, Clydesdale offers flexible lending terms that can extend well into retirement (often up to age 85).

Key Features of Clydesdale Bank Later Life Lending

Clydesdale's later-life products are known for their flexibility and cater specifically to borrowers with higher-than-average income or property values:

• Flexible Affordability: They are more willing than many high-street banks to consider a wide range of retirement income, including SIPPs, private pensions, and even some investment income.

• No Interest Roll-up (on RIO): Because you pay the interest monthly, the amount you owe never increases. This ensures your heirs inherit a larger share of your home’s value.

• Large Loan Specialists: Clydesdale is well-known for handling "large loans" (above £1 million), making them a preferred choice for owners of high-value properties in London and the Southeast.

• Fixed Rate Certainty: They offer a variety of fixed-rate terms, providing peace of mind that your monthly interest payments will remain the same for years.

• Product Transfer Options: Existing Clydesdale customers often have access to exclusive "product transfer" rates when they reach the end of their current mortgage term.

Clydesdale Bank Equity Release Interest Rates

Interest rates for Clydesdale’s RIO and later-life products are generally lower than traditional roll-up equity release rates because the borrower services the interest monthly. If you opt for a traditional lifetime mortgage (no monthly payments) through their group partners, rates are likely to be higher. Speak to one of our advisers for a comparison of their latest rates.

Eligibility Criteria

To be eligible for a Clydesdale Bank later-life mortgage, you generally need to meet the following:

• Age: You must be 55 or over for RIO mortgages. For standard later-life loans, they can lend to people who will be up to 85 years old at the end of the mortgage term.

• Income: You must be able to demonstrate that you can afford the monthly interest payments. This is a key difference from standard equity release.

• Property Value: Minimum property values usually start around £100,000.

• Location: Lending is available throughout England, Scotland, and Wales.

• Loan-to-Value (LTV): RIO mortgages are often capped at 50% to 60% of the property's value.

Clydesdale Bank Equity Release Reviews

Clydesdale Bank is often praised for its "bespoke" approach to underwriting. Unlike some lenders that rely purely on automated systems, Clydesdale’s underwriters are known for looking at the "big picture," which is highly beneficial for retirees with complex financial setups. Customer reviews for their mortgage service are generally positive, though some note that the application process can be more detailed than that of a non-payment equity release provider.

Pros and Cons of Clydesdale Bank Equity Release

Pros:

• Debt Control: Monthly interest payments mean your loan balance stays level and doesn't compound.

• High-Value Lending: Excellent options for those with luxury properties or substantial borrowing needs.

• Lower Costs: Generally lower interest rates than traditional "no-payment" equity release.

• Brand Stability: Backed by the scale of Virgin Money and, ultimately, Nationwide Building Society.

Cons:

• Monthly Payments Required: Not suitable for those who want to access cash without a monthly financial commitment.

• Rigorous Affordability: You must pass income stress tests to ensure you can afford the loan in retirement.

• Risk to Home: As with any mortgage, your home is at risk of repossession if you fail to keep up with the monthly interest payments.

• Limited "No-Payment" Options: Their direct specialty is not in roll-up plans, so you may be referred elsewhere if that is your priority.

How to Apply

You can apply for a Clydesdale Bank later-life mortgage through independent mortgage brokers (recommended) or by contacting the bank directly. Given the complexity of retirement income and the potential impact on your estate, it is highly recommended to speak with an adviser who has a "Later Life Lending" qualification.

Get started here to book a free, no-obligation chat with a later life lending adviser who can compare Clydesdale’s products for older borrowers against traditional equity release deals and other alternatives for you.