Life house credit
The Albuquerque couple took out a mortgage contract for 100.000€, with a 40-year term and a spread of 1%.
Every month, they paid 459.89€ for the mortgage plus 40€ of life insurance that the Bank demanded when the credit was approved. When they made the insurance with the Bank, they were given a bonus on the spread, so they had a spread of only 1%. Monthly they had a cost of 499.89€.
Everything was going well, until the financial crisis hit, and they felt the need to take a closer look to their expenses and concluded that they had a yearly cost of 5.998.68€ with their house credit and life insurance. Frightened by this scenery, they realised that at the end of the 40 years of credit they would have a total cost of 239.947.20€.
With their first child on the way, they decided to consult us so that we could help them. We knew that they would have a 0.1% increase in the spread and would now pay a monthly instalment of 464.37€, but with our help they were able to find a Life insurance policy with a better coverage for the whole family and for only 25€ a month. Each month they would save 15€ on the Life insurance and only pay an extra 4.48€ on the mortgage, that is each month their expense would be 489.37€.
With this small step they now have an expense of 5.872.44€ per year and at the end of 40 years they will have paid the Bank 234.897.60€, which represents a saving of 5.049.60€.
COVERAGES AND GUARANTEES
- Absolute and Definitive Disability
- Total and Permanent Disability