Lifestyle Loans Not Impacted By Receivership

7 September 2007
Media Release

Lifestyle Loans Not Impacted By Propertyfinance Securities Limited Receivership

The New Zealand Guardian Trust Company & Standby Servicers Limited, a subsidiary of Deloitte, have stepped in to take over the management of reverse mortgage ‘Lifestyle loans’ from Propertyfinance Securities Limited following that company being placed in receivership last week.

The New Zealand Guardian Trust Company & Standby Servicers Limited have written to holders of Lifestyle loans from Propertyfinance Securities Limited explaining that there is no impact on their loan or its terms and conditions as a result of the receivership.

Guardian Trust’s Senior Relationship Manager Corporate Trusts, Jo Reynolds, confirmed that the receivership does not affect the Lifestyle loans that are owned by Guardian Trust as Trustee and now administered by Standby Servicers Limited, and that the operation of the loans, including the ability to make further drawdowns, will not be affected.

“We understand how important it is for holders of Lifestyle loans to be clear that there is no impact on their Lifestyle loan. They do not need to repay their loans or re-finance”, said Reynolds.

Lifestyle Loans are a reverse mortgage product allowing those with a freehold home to utilise the value of the property through a loan.

As well established, significant organisations, both Guardian Trust and Deloitte have many years experience in dealing with financial assets.

Standby Servicers has established a toll-free number for any Lifestyle Loan holders needing further information. Holders can call 0800 993 366 or e-mail standbyservicers@deloitte.co.nz.

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