Financial protection: Two Ways to Insure Your LoanUncategorized
Have you just taken out a home loan or another loan? Then it is a good idea to build in the necessary financial protection. This way you avoid unnecessary risks and you can always sleep on both ears. Anyone who talks about credit insurance first of all thinks of a debt balance insurance. But there are other additional options. Discover 2 ways to insure your loan here!
Insuring a loan with the Guaranteed Living Insurance
Buying, building or renovating a home is a major investment for most people. It is therefore worthwhile to insure your loan.
With the Insurance Guaranteed Living of the Flemish government you are already in safe hands. It is a free insurance policy that intervenes when you are involuntarily unemployed or incapacitated for work.
Although there are a number of conditions. For example, you must have been working full-time for at least one year and the selling price of your home may not exceed 320,000 euros. Only in some Flemish-Brabant municipalities is the upper limit higher (368,000 euros).
Insure your loan with a debt balance insurance
Although not mandatory, debt balance insurance is by far the most popular way to insure a loan. And that has its reasons.
If you die prematurely, the outstanding balance insurance will cover the insured, not yet repaid, amount of the loan. In this way your partner or other dependents are assured of a carefree future. In addition, the possibility of taking out a credit balance insurance policy separately with a party other than your lender means a lot of room for more attractive rates!
And last but not least: a liability balance insurance is tax deductible under certain conditions.
In addition to your debt balance insurance, you can also take an additional guarantee. This also protects you against unforeseen circumstances! Additional guarantees are additional insurances linked to your debt balance insurance (so they cannot be taken out separately without a debt balance insurance).