The HEEPS Equity Loan pilot is now closed to new customers. Energy Saving Trust is proud to have been a part of the Equity Loan pilot scheme between 2017 and 2022, working alongside Care & Repair and Scottish Government.
In the closing stages of the pilot scheme, Scottish Government published two reports on the successes and lessons learnt, which you can read on the Scottish Government's website ('Home Energy Efficiency Equity Loan pilot - call for evidence on potential national rollout: analysis of responses' and 'homeowner feedback survey - analysis of responses').
For more information, please email the Equity Loan team or call us on 0808 108 9414.
You can also read the full Equity Loan terms and conditions.
I’m an existing Equity loan customer – what now?
If you are an existing Equity loan customer, your loan will continue to be administered and managed by Energy Saving Trust. However, no new customers will receive Equity loans and although only limited changes to your existing loan will be able to be made, Energy Saving Trust is here to help you through the remainder of your Equity loan journey.
Where is my Care & Repair Officer?
While the pilot scheme was operating between 2017 and early 2022, Energy Saving Trust collaborated with Care & Repair to provide valuable additional support to Equity loan customers. Now that the pilot scheme is closed to new customers and limited changes can be made to existing loans, the Care & Repair Officers are no longer involved.
What if I need help with my existing Equity loan?
If you require support please contact Energy Saving Trust directly by emailing equityloans@est.org.uk or calling 0808 108 9414.
Energy Saving Trust will not be replicating the Care & Repair service but will provide support where expertise and knowledge allow. Please note that the legal agreement you signed when you were offered the loan contains all the terms and conditions that apply to your loan.
How do I repay my equity loan?
If you are in a position to repay your Equity loan you should instruct your solicitor to contact the Scottish Government’s appointed solicitors, Anderson Strathern by emailing them at heeps@andersonstrathern.co.uk.
The loan will only be repaid when the property is sold or upon the death of the applicant. The total loan may also be repaid on the occurrence of certain events, including:
- the death of the last applicant
- he insolvency of any applicant
- he property secured being sold or otherwise its title being transferred
- any breach of any loan agreement or security condition.
How much you repay will be based on the equity stake held by the Scottish Government and the open market value of your property at the time of repayment. The equity stake held by the Scottish Government is stated in the legal agreement you signed when you were offered the loan. There is a cap in place to protect owners from sharp rises in house price inflation.
The repayment will always be the lesser of:
- The Scottish Government’s agreed equity share of the property’s sale price
- the loan amount if it had been a commercial loan at 2.5% APR for the duration of the agreement.
This ensures that if the value of your home increases significantly over a short period of time what you repay will be restricted to 2.5% APR of the original sum you borrowed.
Can I repay part of my equity loan?
Yes, however, we recommend you discuss a partial repayment with any relevant family members and seek independent legal and financial advice before proceeding to ensure it is correct for your circumstances as there will be legal and financial implications for you if you do so.
To complete and make a partial repayment, you must appoint a solicitor to liaise with the Scottish Government’s appointed solicitors, Anderson Strathern. Your solicitor can contact Anderson Strathern by emailing heeps@andersonstrathern.co.uk.
To repay part of your loan the below conditions must be met:
- 30 days notice is given
- the amount must be £5,000 or more, in multiples of £5,000, or the balance of the loan
- there is only one pre-payment in any 12 months
- it will not cause the owner to be insolvent
- the owner is not otherwise in breach of the agreement.
You will also need to provide a current property valuation and agree to pay the associated fees.
What if I need help with financial or legal advice?
For help on how to resolve third party disputes and financial advice you can contact your local Citizens Advice Service.