Don’t get conned into taking out expensive loan payment insurance
- 10TH JULY 2007
Of course the whole point of getting a loan is due to the fact that we simply don’t have the money to outlay for expensive items. When we take out a loan we are frequently asked if we want to protect the repayments by taking out loan payment insurance.
However if taken out alongside the loan this can cost you dearly and stretch your finances way over the top despite the protection being needed.
Fortunately there is a very easy answer. If you want the cover and are eligible when it comes to claiming then don’t get conned into taking out expensive loan payment insurance from your lender, take it independently.
Simon Burgess from standalone provider British Insurance is alarmed at the amount of consumers that simply don’t realise this is an option when it comes to taking out loan payment insurance. This can either be because the banks want you to believe the protection has to be taken alongside the loan from them, of course they will they make huge profits each and every year from the sales, or the fact that people are too lazy to shop around.
Loan payment insurance taken from the high street bank is the dearest way of purchasing the cover and Simon cannot get this point across strongly enough. It’s not just that he wants you to buy from him, of course he does, but for the right reasons, to save you up to 80% on your premiums. British Insurance are considered to be the “good guys” in the payment protection sector and this is shown in the many “best buy” awards the company has earned.
