The greater the need, the less likely you are to have it, this is the paradox associated with Mortgage Payment Protection Insurance.
This is not a clever statistic; just the truth.
There are a few of us left in these credit crunched times that have the "emergency" funds put aside for hard times; you know, the three to six months salary that all the financial adviser's talk about at length. The lucky few that have these funds are likely to be are less sensitive to short term ups and downs, and can probably weather the storm.
Most of the general population need some form of credit to simply survive on a weekly basis; therefore don't have a stash of cash to weather life's ups and downs. In addition, if people need credit regularly, they are probably not saving and therefore would not have the opportunity to build up a stash of protection cash.
When it comes to insurance, particularly Mortgage Payment Protection Insurance, many see the small cost as just giving money away, with no return. You know, "it will never happen to me" reasoning.
Well, its time to wake up and smell the flowers; even the Army, Royal Navy and Air force are making redundancies!
Teachers are not safe; many of them are being made redundant across the country. Many teachers that are being employed are being done so on a short term contracts, which can be difficult to plan your future around.
Unheard of in the past, if it can happen to the groups mentioned above, it really can happen to you. There is also sickness and accident to consider, when can really cripple the finances, and ability to make those all important mortgage payments.
These polices can be tremendous value for money, if you buy right. That means, give the Banks a wide berth. All we are seeing and hearing on the news is how a perfectly good product has been miss -sold; mainly by the banks.
The high street banks have actually put aside millions, in order to pay compensation to those that have been disadvantaged. Examples of grievances connected with the sale of MPPI policies, would be where on an application form for a loan, the customer was asked to tick a box, stating that they did not want a policy! A clear miss-sale, if ever there was one. Even worse, the sale of the redundancy element, or the inclusion at cost, for someone who is self employed.
Now let look at a great example of how a well and informed MPPI policy purchase can alleviate financial hardship, in the event of sickness, accident and or unemployment.
At the time of writing a good friend of mine is claiming on an MPPI policy that he took out albeit grudgingly, on my advice (nagging actually). He had paid five months premiums at £ 52, when the bank gave him the push. The monthly benefit is £ 1700 PCM for 12 months, that's £ 20,400 total benefit for a cost of £ 260.
Now, is it time to re-think about a Mortgage Payment Protection Policy?
This is not a clever statistic; just the truth.
There are a few of us left in these credit crunched times that have the "emergency" funds put aside for hard times; you know, the three to six months salary that all the financial adviser's talk about at length. The lucky few that have these funds are likely to be are less sensitive to short term ups and downs, and can probably weather the storm.
Most of the general population need some form of credit to simply survive on a weekly basis; therefore don't have a stash of cash to weather life's ups and downs. In addition, if people need credit regularly, they are probably not saving and therefore would not have the opportunity to build up a stash of protection cash.
When it comes to insurance, particularly Mortgage Payment Protection Insurance, many see the small cost as just giving money away, with no return. You know, "it will never happen to me" reasoning.
Well, its time to wake up and smell the flowers; even the Army, Royal Navy and Air force are making redundancies!
Teachers are not safe; many of them are being made redundant across the country. Many teachers that are being employed are being done so on a short term contracts, which can be difficult to plan your future around.
Unheard of in the past, if it can happen to the groups mentioned above, it really can happen to you. There is also sickness and accident to consider, when can really cripple the finances, and ability to make those all important mortgage payments.
These polices can be tremendous value for money, if you buy right. That means, give the Banks a wide berth. All we are seeing and hearing on the news is how a perfectly good product has been miss -sold; mainly by the banks.
The high street banks have actually put aside millions, in order to pay compensation to those that have been disadvantaged. Examples of grievances connected with the sale of MPPI policies, would be where on an application form for a loan, the customer was asked to tick a box, stating that they did not want a policy! A clear miss-sale, if ever there was one. Even worse, the sale of the redundancy element, or the inclusion at cost, for someone who is self employed.
Now let look at a great example of how a well and informed MPPI policy purchase can alleviate financial hardship, in the event of sickness, accident and or unemployment.
At the time of writing a good friend of mine is claiming on an MPPI policy that he took out albeit grudgingly, on my advice (nagging actually). He had paid five months premiums at £ 52, when the bank gave him the push. The monthly benefit is £ 1700 PCM for 12 months, that's £ 20,400 total benefit for a cost of £ 260.
Now, is it time to re-think about a Mortgage Payment Protection Policy?
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