Mika
VIP Contributor
Yes, you read this right. You can get a loan by using your policy as collateral. One of the interesting benefits offered by life insurance companies is the option to get a loan against your insurance policy. You can get upto 90 percent of the funds you have paid as premiums. Let say, you pay a premium of $100. In five years you have paid $500 to the insurance company as premiums. You are now eligible to get 90 percent of $500, or $450, as a loan. You do not need extra collateral to get a loan, you can use your own policy as collateral. In order to be eligible for the loan, you should have paid at least 2 premiums.
How to get a loan from a life insurance policy?
You can get a loan from your life insurance policy in two years, one, from financial institutions that offer loans against an insurance policy, two, from the insurance company itself.
How to get a loan from a life insurance policy?
You can get a loan from your life insurance policy in two years, one, from financial institutions that offer loans against an insurance policy, two, from the insurance company itself.