Credit insurance?

You have to be careful. A rat or legal, residual insurance is not always worthwhile. Often it is more expensive than the whole loan. Besides, they don’t always jump in.

Often, residual debt insurance companies claim that they cover the borrower against unemployment, inability to work and death and cover the remaining open debt, which is not true. In such a case, you then ignorantly complete a very expensive and hidden type of risk life insurance.

Residual debt insurance is very controversial and are strongly criticised. Above all, because as a borrower you have to pay the insurance premium and the brokerage costs directly at once. The banks then simply increase your credit to cash out the costs of the residual debt insurance and earn again. Of course, you have to pay more interest to the bank.

If you want to fund a property, a risk life insurance for your insurance is often cheaper than that of the bank.

For car financing or other small loans, such a residual debt insurance is unnecessary and is not worth it. This is only for the bank, because it takes the commissions.