Are you considering the Scottish Building Society as a lending provider for an equity release alternative?

Scottish Building Society is one of the world's oldest building societies and offers a variety of products.

If you are looking into using Scottish Building Society and are over 50, here are all the relevant facts for you.

At SovereignBoss, our research team has spent countless hours reviewing equity release information and compiling it together in an easy-to-use format.

Therefore:

NOTE: SovereignBoss is an impartial, unaffiliated and unconnected third-party information provider via this website, and the details replicated in this commentary represent the opinions of SovereignBoss only and may not reflect the views or opinions of Scottish Building Society. This article must not be interpreted as advice, nor is it a solicitation to conduct transactions in any financial product provided by Scottish Building Society.

What Is Equity Release?

An equity release mortgage is, in a nutshell, a loan plus interest that is paid back to the lender when the homeowner passes away or goes into permanent care.

Learn More: What's Equity Release?

Who Is Scottish Building Society?

The Scottish Building Society is a building society based in Edinburgh, Scotland.

It is the oldest building society in the world¹, the only independent building society based in Scotland.

It is the 25th largest in the United Kingdom based on total assets of £431.4mln at 31st January 2020.²

It is a member of the Building Societies Association.

Why Consider Scottish Building Society?

You could consider Scottish Building Society as it offers financial products to help individuals across the United Kingdom and beyond acquire homes and save for the future.

Scottish Building Society reported record earnings in late January 2022, with a considerable increase in revenue over the preceding two years.³

It rewards its loyal customers with reasonable interest rates and mortgage options so they may make the most of their finances.

Does Scottish Building Society Have an Alternative to an Equity Release Calculator?

No, the Scottish Building Society does not have an equity release calculator.

If you are looking for an equity release calculator, why not try the calculator below and see approximately how much equity you could potentially release from your home?

Read More: Equity Release Calculators

What Are The Pros and Cons of Scottish Building Society?

To provide a concise summary of the pros and cons of the Scottish Building Society, taking into account the services they offer and their position in the market.

Here's an organized overview:

Pros of Scottish Building Society

1. Historical Prestige: As the oldest building society in the world, the Scottish Building Society has a long history of stability and reliability, reflecting its ability to adapt and maintain customer trust over the years.
2. Competitive Interest Rates: They are known for offering fair interest rates, making their financial products, especially mortgages, attractive to a broad range of customers.
3. Flexible Mortgage Options: The society provides flexible mortgage solutions, including Retirement Interest Only (RIO) mortgages, catering to the specific needs of their clients, particularly appealing to older homeowners seeking financial flexibility without moving.

Cons of Scottish Building Society

1. Limited Product Range: Scottish Building Society focuses primarily on savings accounts and mortgages. This specialized approach means they do not offer the wide array of financial products found at larger banks, which might be a drawback for customers seeking one-stop financial services.
2. Exclusivity to Savings and Mortgages: By offering exclusively savings products and mortgages, they may not meet the needs of potential customers looking for more diverse banking services like credit cards, personal loans, or investment services.
3. No Equity Release Products: For those interested in unlocking the equity in their homes without selling, the lack of equity release or lifetime mortgage products can be seen as a limitation, as these are increasingly popular financial solutions for older homeowners.

What Information Is Available on Scottish Building Society's Alternatives to Equity Release?

Scottish Building Society includes discounted and fixed-rate RIO mortgages among its mortgage products as alternatives to equity release.

Homeowners over the age of 55 in Scotland can apply for these loans to access the equity in their primary residence.

How Was the Information Regarding Scottish Building Society and Equity Release Reviewed?

We reviewed Scottish Building Society based on the following:

• Reputation and History – How many years they have been in business, customer reviews, and industry rewards received.
• Financial Strength – Ensuring it is going strong and has adequate funds to meet long-term commitments.
• Product Range – We favour companies offering a variety of equity release schemes with greater product flexibility.
• Interest Rates and Fees – We review competitive rates compared to industry averages and they must be fully transparent about rates and fees without hidden costs.
• Customer Service and Support – When and how it is available, response times, and available online educational resources. As well as online tools, like a calculator.
• Code of Conduct and Compliance – We only consider companies that adhere to recognised industry standards and codes.
• Industry Insights and Peer Reviews – We care about a company’s industry-wide reputation.
• Innovation and Technology – Is there a streamlined, digital application process?
• Client Testimonials – Success stories and the complaints resolution process.

We are an unaffiliated, third-party reviewer and our review of Scottish Building Society is independent.

What Do Customers Say About Scottish Building Society?

Here are customer reviews about Scottish Building Society so you can get insights into what others have to say.

Take a look here.

• Scottish Building Society Reviews on Smartmoneypeople.com
• Customer reviews of Scottish Building Society on UK.TrustPilot.com

How Does Scottish Building Society Handle Complaints?

If you are dissatisfied with Scottish Building Society and wish to make a complaint, the best place to start is by contacting your local branch.

You can also call the complaints department on 0333 207 4007.

Alternatively, you can write a complaint letter and send it to the head office:

Scottish Building Society
SBS House
193 Dalry Road
Edinburgh
EH11 2EF

What Are the Interest Rates for Scottish Building Society's Alternatives to Equity Release?

The interest rates on Scottish Building Society's equity release alternatives are deal-dependent and awarded on a case-to-case basis.

Equity release annual interest can range from 5.97% to 6.28%* AER.

You can view the current interest rates here..

Have a look at all the equity release schemes available on the market, with our easy-to-use table or compare the equity release rates!

*While we regularly review our rates, these may have changed since our last update.

What Fees Are Associated With Scottish Building Society's Services?

Scottish Building Society fees include product fees, legal fees and inspection fees, among others.

The actual fees you may be required to pay will depend on the plan you choose.

It may also offer you a free valuation on its RIO mortgage; however, sometimes providers charge for this depending on your plan.

There will also be fees associated with:

• Making changes to your mortgage.
• Requesting extra documentation.
• Ending your mortgage term early.
• Exiting your mortgage.
• Not being able to pay your mortgage instalments.

What Are the FCA Details for Scottish Building Society?

Trading Names

Scottish Building Society

FCA Permitted Services

• Banking
• Mortgages and Home Finance
• Investments

Regulators

• Financial Conduct Authority (FCA)⁴
• Prudential Regulation Authority (PRA)⁵

Registration Numbers

• FCA Ref Number: 206034

FCA Link

• FCA Link: FCA Link
• Mutuals Public Register: Mutuals Public Register Link

How Can You Contact Scottish Building Society

• +44 333 207 4007
• 193, Dalry Rd, Edinburgh EH11 2EF, United Kingdom.

What Are Some Common Questions About Scottish Building Society?

What Is the Conclusion Regarding Scottish Building Society and Its Services?

Scottish Building Society is the world's oldest building societies and the only one in Scotland.

It may not be the answer to "what is the best equity release company", but it does provide an RIO as an alternative to regular equity release.

If you are a homeowner in Scotland over the age of 55 and would want to examine an alternative to equity release, you may be eligible.

The RIO lets you borrow between £30,000 and £300,000, up to a maximum of 50% of your property's worth.⁶

If you are seeking an alternative to equity release, Scottish Building Society's RIO may be just what you are looking for.

The features mentioned and the amounts raised, are subject to the lender’s criteria, terms and conditions. These may take into account the age, health and lifestyle factors in order to provide an enhanced amount. To understand the features and risks, ask for a personalised illustration.