Is mortgage protection right for you?
Mortgage protection is getting increasingly popular these days. It is a form of insurance that allows you to make the house payments if you're not getting regular income during a certain period. You might get injured or lose your job, and mortgage protection makes sure you can pay all the bills in spite of that. There are many offers for mortgage protection on the market, so doing your research is important.
Many times, mortgage protection is purchased from the lender that also took care of your mortgage needs. If so, there is a considerable chance you're paying too much for your mortgage protection. The good news is that mortgage protection policies are easily cancelled these days so you can move on to a cheaper option.
For a lender, mortgage protection is an extra income stream. This is why many lenders automatically attach mortgage protection to a mortgage. The mortgage protection that is offered by your lender might not be the best option for you, because many insurance providers can provide the same mortgage protection in a more cost efficient manner. Be aware that some lenders will try to have you believe it is mandatory to get mortgage protection with your mortgage. This is not true nor mandatory.
When you are unable to work or generate income otherwise, mortgage protection can be a real help. The mortgage protection ensures you that you will be able to pay your mortgage payments for a certain period of time that's specified in your mortgage protection coverage. Most of the times this period is somewhere between 12 - 24 months. Being able to pay the mortgage costs every month is a big wieght off your shoulders in troubled times.
When purchasing mortgage protection, be sure to consider every available option for your situation. Mortgage protection is a good product, but you have to be careful where you get it. Because of the fact that mortgage protection represents a possible extra income stream for lenders, the advice they give you might not always be as unbiased as you think.
Many times, mortgage protection is purchased from the lender that also took care of your mortgage needs. If so, there is a considerable chance you're paying too much for your mortgage protection. The good news is that mortgage protection policies are easily cancelled these days so you can move on to a cheaper option.
For a lender, mortgage protection is an extra income stream. This is why many lenders automatically attach mortgage protection to a mortgage. The mortgage protection that is offered by your lender might not be the best option for you, because many insurance providers can provide the same mortgage protection in a more cost efficient manner. Be aware that some lenders will try to have you believe it is mandatory to get mortgage protection with your mortgage. This is not true nor mandatory.
When you are unable to work or generate income otherwise, mortgage protection can be a real help. The mortgage protection ensures you that you will be able to pay your mortgage payments for a certain period of time that's specified in your mortgage protection coverage. Most of the times this period is somewhere between 12 - 24 months. Being able to pay the mortgage costs every month is a big wieght off your shoulders in troubled times.
When purchasing mortgage protection, be sure to consider every available option for your situation. Mortgage protection is a good product, but you have to be careful where you get it. Because of the fact that mortgage protection represents a possible extra income stream for lenders, the advice they give you might not always be as unbiased as you think.
About the Author:
Mijnadviseur writes articles about mortgages in English and articles about hypotheek and aflossingsvrije hypotheek in Dutch.
posted by Debt Consolidation Loan at
7:14 AM
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