Air Sourcing has launched a new borrowing forecast tool and rebroke tool.

The new tools are set to address concerns being raised by clients around the impact of factors such as compound interest.

It will include the specific cost of a lifetime mortgage as well as the impact of different interest rates, ad hoc fees and penalty-free repayments as well as any potential future drawdowns.

The borrowing forecasting tool covers all lifetime mortgages as well as the differing product features available on Air Sourcing.  

Meanwhile, the rebroke tool will help advisers to explain each customer’s individual options.  

The calculations will factor in early repayment charges, ad hoc fees and further advances. The tool will highlight whether the new mortgage will be cheaper, and by how much, showing any cost saving annually as well as over the desired term. 

It will also produce a graph of the existing mortgage compared to the new lifetime mortgage with the option to include property value inflation. 

Air Group chief executive Stuart Wilson says: “To further support our members, we have launched new borrowing forecast and rebroke tools to aid in the advice process.”

“This will add another string to our members’ bows when they are working to support their customers with user-friendly graphs, tables and illustrations. These can be included within the suitability report and for compliance purposes will provide further evidence of the in-depth nature of the advice given and time taken to explain these important points,” Wilson adds.