Retirement Interest Only (RIO) mortgage

There are no valuation fees, product or advice fees with this mortgage.

With this type of mortgage, you only pay the interest on the amount you’ve taken out each month, meaning your monthly payments will be lower than a standard mortgage. And there's no fixed term: The amount you borrowed won't have to be paid back until the last remaining borrower moves into long-term care or dies. Moving to us from another lender? We give you free standard legal costs.

Could it be right for you?

Unlike a regular mortgage, which runs for a fixed term, this mortgage is designed to run for the rest of your life, meaning it could be ideal if you don't want to move or downsize. It could be right for you, so long as you're happy knowing that the loan is usually repaid by the sale of your home when the last remaining borrower moves into long-term care or dies.

You can apply for this mortgage from the age of 55, up until your 85th birthday (or your 95th if you already have an existing mortgage with us), so long as:


  • you're getting either a state, workplace or private pension
  • the property is, or will be, the main place you live

Things you need to know

  • the RIO mortgage is only available for standard ownership
  • you can overpay by up to 10% of the total amount of the loan each year without incurring an Early Repayment Charge
  • it’s also not available if you live on the Isle of Man, Scilly Isles or Channel Islands.

The most you can borrow with our RIO mortgage is £500,000 and you can only borrow up to 50% of the property value.

Ready to take the next step?

Please call us on 0800 30 20 10 or ask in branch for a Later Life Mortgage Consultant.

When you contact us in the first instance you'll need the following:


  • income details (from state and private pension income including your providers name)
  • any pension dependency clause information your pension may contain (if a joint application)
  • buildings insurance information
  • council Tax Information
  • any other credit commitments you may eg. Credit Cards, Personal loans.

After a quick Eligibility and Affordability check , we’ll then be able to arrange an appointment for you with one of our Later Life Mortgage Consultants, in branch or via Nationwide NOW (a video link you find in many branches). Don’t worry this will all be set up for you in advance.

For this appointment we will then need to know about:

  • tax position
  • any savings and investments information
  • other assets
  • protection.

You may also be interested in...

Retirement Capital and Interest mortgage

With this type of mortgage, the money you borrow is paid back, along with interest, each month over a fixed term, just like you would with a standard mortgage. The difference here is that unlike a standard mortgage, you can borrow past the age of 75.

Lifetime mortgage

With this type of mortgage there are no monthly payments to make every month, unless you choose to. The capital and interest will not be repaid until the last remaining borrower either moves into long-term care or dies. The term of this mortgage is not fixed. The Lifetime Mortgage could be ideal if you want to release some equity and if you would prefer not to make monthly repayments.

Think carefully before securing other debts against your home. Your mortgage is secured on your home, which you could lose if you do not keep up your mortgage payments. Check that this mortgage will meet your needs if you want to move or sell your home or you want your family to inherit it. If you are in any doubt, seek independent advice.