Here is a summary of the cons for buying credit life insurance. Keep this in mind the next time you visit a bank for a loan.
- Credit life insurance costs more than regular life insurance for the same type of coverage.
- The lender is the beneficiary, not your family.
- Credit life insurance is not required for taking out a loan, and if a salesman tries to imply that it is, go somewhere else or report him or her to the authorities.