Loan Payment Protection Insurance Covers Your Repayments
A loan payment protection insurance policy is taken out to ensure that if you find yourself without an income due to being made redundant or if you become sick or have an accident that means you are unable to work you would still be able to pay your repayments. These payments can include your loan or credit card outgoings up to so much of your payment each month.
When taking on a loan you are usually offered protection for it. However when adding it onto the cost of the policy, the lender could then add interest on top of it. This means that you are paying interest not only on the amount you want to borrow but also on the protection for the loan. In some cases this can also double the cost of what was once a cheap loan. You will also be paying part of the
