Charcol; and Nick Sutton, sales director, Retirement Solutions

Ms Lowe’s concerns around equity release are completely valid, particularly when it comes to the potential for interest to compound over time. If Ms Lowe were to borrow £250,000 against her £800,000 home, the current best rate available as of today is a 6.4pc monthly equivalent rate (MER), or 6.59pc annual equivalent rate (AER).

If she chose not to make any repayments, the balance after 15 years would grow to approximately £651,261. This gives her the cash now without the need for monthly payments but does of course mean a significant reduction in the value of the estate left behind.