Card Credit Payment Protection UK
From LoveToKnow Creditcards
When it comes to card credit payment protection UK, there are a number of options available to consumers.
Advantages of Credit Payment Protection
If you were unable to work after an accident, due to disability or because you were laid off from your job, how would you keep up with your credit card payments? Card credit payment protection UK is a way to help you meet your financial obligations during difficult times.
Credit card companies have offered this kind of protection to their customers for some time. Now other companies have developed these kinds of products and are offering them to the public.
Before You Agree to Buy Credit Payment Protection
You will need to take the time to make sure that you understand exactly what you are buying before you take out a credit payment protection policy. You will need to know the following information in order to make a good decision:
- What level of payment will the company make if you are unable to work or unemployed?
- Is this at least the minimum balance due each month?
- What information will you need to provide in order to make a claim?
- How much does the coverage cost?
- How long will you be able to claim benefits under the insurance?
Examples of Card Credit Payment Protection UK
Here are some examples of plans that you may want to consider.
Paymentcare UK
Paymentcare UK offers payment protection insurance specifically for UK customers. This company does not issue credit cards itself; instead it insures the balance owing on existing cards. If you need to make a claim on the insurance, you are not charged premiums during that time.
Customers are able to choose the level of protection they would like to buy. Coverage offered ranges from GBP 1,000 and GBP 10,000. Customers are asked to choose an amount that reflects the amount they owe on their credit cards. (More than one card may be covered, up to a maximum of GBP 10,000.)
This company will pay an amount equal to 10 percent of the average amount you owe on your cards for up to 12 months.
Bank of Ireland Insurance Services
When you apply for a credit card through Bank of Ireland, you have the option of choosing Payment Protection Insurance coverage. Payments are made under an accepted claim for a maximum of 12 months. You will get the following coverage with your policy:
- Payment of your credit card balance up to a maximum of 7,650 Euros
- If you are disabled, the insurance will pay 10 percent of your outstanding balance, up to a maximum of 650 Euros
- If you are unemployed (does not apply to self-employed people), the plan will pay 10 percent of your outstanding balance, up to a maximum of 650 Euros
- In a situation where you are diagnosed with a critical illness or suffer a major injury, your balance will be paid, up to a maximum of 7,650 Euros.
Lloyds TSB
This plan provides protection if you are unable to work due to accident or sickness (including back injuries and/or mental illness). Self-employed people are not excluded from being covered under the policy.
If you voluntarily leave your job to care for your parents, your spouse, or children, the policy will pay benefits to help with your credit card payments. This policy also protects customers who are hospitalized for five days or more. If the primary or a secondary cardholder dies, then the balance owing on the card will be paid, up to a maximum of GBP 20,000.
Card credit payment UK can make good financial sense, as long as you understand exactly what level of protection you are getting and how the premiums are calculated. It can be a big help in keeping your payments up to date when your income has fallen.
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This page has been accessed 417 times. This page was last modified 16:35, 30 September 2008.
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