Interest only mortgages which have also been called 'endowment mortgages' or 'pension mortgages', are a mortgage where only the interest is repaid. At the end of the term you will still owe the amount you originally borrowed and how you repay this is up to you. Most lenders will require some form of proof such as an investment plan, pension or other method that you will be able to repay the debt normally before your retirement age.
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