What is credit insurance and should be refused
Usually under this understand the conclusion of a contract for which the insurance company will pay off the debt of the borrower in front of the bank when an insured event occurs. What exactly – depends on the contents of the document. Most often we are talking about the life and health of the debtor. Accordingly, it may claim for payments in the following cases:
- death (here the recipient will already have a family that inherits and debts too);
- temporary disability due to illness or accident;
- disability due to disability.
Insurance products can be different and defended, for example, from loss of work or other vitality.
But these are not all insurance that can accompany the loan. For example, loans for new cars usually imply CASCO, that is, the maximum insurance of the car from damage and hijacking. Sometimes banks agree to do the mandatory CTP, but it increases the risk for them that the client will not return the money. Mortgage is often accompanied by housing insurance from destruction, a little less often – title insurance. The latter will be useful if the transaction is invalid because of, for example, inheritance disputes or flat fraud in the past. In general, the bank itself decides, what kind of insurance he wants to see.
Therefore, arguing about the insurance on the loan and especially accompanying the loan, you need to understand what kind of contract you conclude whether it needs you and will you protect whether in a controversial situation.
Is the loan insurance required
Those who make up a mortgage should federal law from 16.07.1998 N 102-FZ Insure an object from loss and damage risks. But the mortgage does not necessarily mean that you bought housing on credit and live in it. You can take such a loan and secured by the available real estate – for example, get money on a business, and as a guarantee, provide an apartment. In this case, it also needs to insure.
In other cases, the policy is made only voluntarily. Banks are prohibited by federal law from 21.12.2013 N 353-FZ impose this service, calling it mandatory. Moreover, an employee should be an overview of the practice of consideration by the courts of disputes arising from a voluntary personal insurance relationship related to the provision of consumer loan to report that the insurance can be abandoned or – if desired, to contact any organization accredited by the Bank, and not only in the "daughter" jar. And more detail about actual spending on the policy.
What will happen if the loan insurance is abandoned
In general, nothing terrible. But some consequences are possible.
You may refuse loan
The bank is not obliged to explain why not give you money. In the end, there are many additional parameters for which they evaluate the borrower.
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You will be offered less favorable credit conditions
Do this law does not prohibit. Bank must federal law from 21.12.2013 N 353-FZ Suggest a customer comparable option available without insurance. That is, the difference will not be dramatic. In practice, it can be 1-2%.
The rate can increase depending on the availability of the policy. Suppose you made insurance for a year and got a low percentage. But you have a loan for five years. If after 12 months you will not extend the policy, the rate can grow – but it should also be spelled out in the contract on credit.
What to do if you want to cancel insurance
It happens that you succumbed to the persuasion of the bank employee and received a policy. Or inattentively read the loan agreement and put the signature not only under it, but also under the document on the issuance of insurance. In this case, you can return the money.
By law you have such a right, but only for 14 indication of the Bank of Russia of November 20, 2015. N 3854-in days. This is the so-called cooling period, when you can weigh everything for and mind and change your mind. Cancellation is allowed only if the insured case has not come and we are talking about voluntary insurance. For example, to insure life and health at lending is not necessary. Such a policy can be returned.
Before refusing insurance, carefully re-read the loan agreement and find out what consequences can you threaten. For example, the percentage will increase for you. Or, for example, it turns out that the refusal of insurance violates the terms of the contract. Then you have to pay debt ahead.
To abandon insurance, write a statement in free form and inform your intention. Specify how you want to get money. And add details if you choose the translation. Apply to the failure of a copy of the policy, passport, payment check. It is better to print a statement in two copies – to your ask an employee of the insurance to put a mark that they registered appeal.
On the return of money from the company 10 working days. If the contract has already begun to act, the amount will be deducted in proportion to the deadline.
When problems arise, you can complain to Rospotrebnor and Central Bank. The first is engaged in the rights of the consumer, the second follows the insurance companies.
How to return a part of the insurance if paid a loan ahead
It happens that the borrower is not against insurance and draws up the policy for all the time that will list the money bank. And then he pays a debt ahead of schedule, and it turns out that part of the amount was spent in vain. Since 2020, insurance obliged federal law from 27.12.2019 N 483-FZ Return the remainder of the cost of the policy. True, there are nuances:
- The insurance contract must be concluded after August 31, 2020.
- This is voluntary insurance.
- It is issued upon receipt of the loan.
- The insured case did not come and the insurance pays were not.
To return part of the money, you need to submit to the insurance statement and documents confirming your relationship – everything is as in the previous paragraph. Only on the return of money at the insurance will be already 7 working days.
When it is worth thinking about loan insurance
Not to make insurance or abandon it possible, but not always to do it. For example, if the loan is large and for many years, and it reduces the percentage. Policy costs can help save on overpayments. Especially in annuity payments, when the entire amount with percentages are divided into equal parts – by the number of months of the loan. The structure of payment is neodynakov: In the first years, the most part is the interest.
Let’s see how much you can save, on the example. Take a loan of 1.5 million for 15 years with a rate of 9% without insurance or 8%, but with insurance, which will cost 10 thousand dollars per year. In the first case, the overpayment for the first 12 months will be 133 thousand dollars, in the second – 118 thousand. Even taking into account spending insurance benefit will be 5 thousand.
With a large long-term loan, it will not hurt to think about the security pillow. If something happens to the borrower, his relatives risk to inherit not only the property, but also debts. And it is better to grieve if you are protected financially. In the case of severe disease, it will also be not up to credit payments. At the same time, the bank in a situation is unlikely to come, this is a commercial structure. So pay off the debt due to insurance will be not bad.
Therefore, if you take a loan and we are talking about insurance, do not chop off the shoulder, all count and take a weighted solution. Only carefully read the contract so that the policy really worked, and not just a piece of paper.
What to do if an insured event has come
It is best to find out the algorithm of action aiming on the site of your insurance company. There you will find a list of documents to be collected to confirm the incident. Then you need to send it together with the statement by the insurer.
As noted by my complaint about the insurance organization sent for consideration to another territorial division of the Bank of Russia? Bank of Russia, the procedure for consideration of applications is determined by the internal documents of the insurer. So the response period is better to search in your contract. But no one forbates to complain about the inaction of the company, if it seems to you that they are tightened with the answer. You can contact the financial authorized, including online.