The best in the world

  • Home
  • Technics
  • Finance
  • Ratings
  • Cars
  • Movie
  • People
  • Home
    • Technics
    • Finance
    • Ratings
    • Cars
    • Movie
    • People

Home Ratings

Benefits of Consumer Credit Insurance

Share
Pin
Tweet
Send
Share
Send

Consumer loans are the most common form of lending. The main advantages of such loans are the speed of receipt and the absence of control by the financial institution regarding the scope of the money received.

The process of obtaining loans today is often accompanied by an insurance procedure. Like other types of insurance, loan insurance is associated with additional costs, which causes outrage among borrowers. People think that only a financial institution benefits from this service, which reduces the risk of loan defaults. But practice shows that insurance is beneficial to the two parties to the transaction.

Life and disability insurance related to obtaining a loan protects not only reliable banks, but also their customers from risks. If an accident occurs, the insurance company will help the client and cover his debt to the financial institution. The bank, having received money from the insurer, will also benefit.

In addition to disability insurance, there are other types of consumer loan insurance. One of its most common types is borrower business insurance. In this situation, money is paid if the company goes bankrupt or a person is fired from his job.

The loan repayment procedure is carried out on the basis of an insurance contract. This document indicates the object of insurance, the parties and the terms of the contract, the consequences of violating pre-agreed terms of interaction. It is a mistake to assume that the cost of insurance is the same in all companies. Some banks work with only one specific company, but if there is a choice, the client is free to familiarize himself with the terms of several companies issuing insurance and choose the best option for himself. You will spend a minimum of time studying the market, and this will save you money on insurance. If we are talking about the rating of mortgage banks, insurance costs can be reduced by 30 percent using the most advantageous offer.

In a number of financial institutions, insurance upon receipt of a loan is not mandatory. However, to show borrowers that it is beneficial to insure, financial institutions lower the interest rate on the loan.

Share
Pin
Tweet
Send
Share
Send

Watch the video: Advantages and Disadvantages of Consumer Credit (June 2025).

Similar Articles

Why is the ruble falling? Top 3 reasons for the fall of the ruble
Ratings

Why is the ruble falling? Top 3 reasons for the fall of the ruble

2020
The most prosperous countries in the world 2019, Legatum Prosperity Index
Cities and countries

The most prosperous countries in the world 2019, Legatum Prosperity Index

2020
The 10 most armored tanks in World of Tanks
Ratings

The 10 most armored tanks in World of Tanks

2020

Leave Your Comment

Recommended

Top 5 crazy scientists and their experiments

Top 5 crazy scientists and their experiments

2020
10 best hypoallergenic carcasses of 2020

10 best hypoallergenic carcasses of 2020

2020
Rating of DVRs 2018, 5 best models by reviews

Rating of DVRs 2018, 5 best models by reviews

2020
The best travel and vacation apps

The best travel and vacation apps

2020

Popular Categories

  • Games
  • Information and News
  • Sport
  • Medicine
  • Favorite
  • Technology Reviews and Tests
  • The most in the world
  • Books
  • Cars
  • Movie

Recent

The countries with the highest taxes in the world, 2019 table

10 strongest alcoholic drinks in the world

The most intricate subways in the world

Xiaomi smartphones ranking 2019, the top 10

The most anticipated cars of 2018 in Russia

10 most unusual professions in the world

Actual

2018 Election: List of Russian Presidential Candidates
Ratings

2018 Election: List of Russian Presidential Candidates

2020

March 18, 2018 held the election of the President of Russia. The date when the head of state was elected for a six-year term. The election campaign of candidates started in December, the budget spent a record 17.69 billion rubles on it, it follows from the decision of the CEC. Due to the feature of rounding the results, ...

Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

Top 10 Lowest Actresses in Hollywood

2020
Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

Top 5 Islands to Buy

2020
Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

The best sites for preparing for the Unified State Examination 2020 online

2020
Jokowi supporters try to prevent anti-Jokowi activist from entering Batam

10 most popular myths about Russia and Russians

2020

The best in the world

The best in the world.

Recent

  • Rating of 15 best hotels of Turkey in 2017
  • The most affordable cars with air conditioning 2020
  • Top 5 cars from films about the apocalypse, which are sold in Russia

Popular Categories

  • Ratings
  • Technics
  • Ratings

© 2025 https://efuc.org

  • Information and News
  • Technology Reviews and Tests
  • Games
  • Sport
  • Tourism
  • The most in the world
  • Technics
  • Coronavirus
  • Food and drink
  • Favorite

© 2025 https://efuc.org