Yes, the purchase of a new mortgage protection term insurance policy is usually not required by the lender.
An existing policy, either term or cash-value life insurance can be used for many purposes, including paying off an outstanding mortgage loan balance in the event of the insured's death.
The face amount under mortgage protection term insurance decreases over time, consistent with the projected annual decreases in the outstanding balance of a mortgage loan.
We had a question posted on our Facebook page asking the following question; What's the difference between "term" and "whole" life insurance, what's the best at what age, and how do you convert? We turned to our own Bill Zimmer for insights on these questions, here's what he said.
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