| Almost every type of loan can come bundled | | | | jobs too. And of course, we can hardly turn on |
| with some sort of credit unemployment insurance. | | | | the news without noting the alarming number of |
| Mortgage, car loans, and even credit cards usually | | | | home foreclosures. And, according to government |
| present an offer to buy a payment protection | | | | statistics, the biggest reason that people lose their |
| plan that will pay the bill if the borrower is | | | | homes is because they lose their incomes. |
| unemployed and loses their income. However, | | | | Well, the good news is that a layoff protection |
| since the plan only pays the bill, it was designed to | | | | plan is here, in t he US, and Americans can find |
| protect the lender, and not really protect the | | | | the same type of affordable protection that |
| borrower who is actually paying extra for the | | | | people in the UK can enjoy. It basically follows the |
| service! In fact, if you do take out credit | | | | same unemployment rules as state |
| insurance, it tacks an extra amount on the loan, | | | | unemployment benefits do, but it usually pays out |
| and it actually makes the loan harder to pay off. | | | | a lot more money. In fact, the average US state |
| Now who benefits from protection like this? | | | | unemployment benefit is less than $400 a week. |
| In my opinion, a better type of layoff payment | | | | For many of us, this is not enough to keep our |
| protection was developed in the UK. This product | | | | mortgage current, pay off loans, keep bills |
| actually insured the benefit member in case of a | | | | current, and put food on the table! |
| layoff, and paid cash to that consumer. The cash | | | | A supplemental plan can be purchased to pay out |
| supplemented government unemployment | | | | an extra $1,000, $1,500, or $2,000 a month. This |
| benefits and provided enough money to keep bills | | | | cash is paid directly to the buyer of the plan, and |
| and mortgages current during unemployment. So | | | | it is not handed over to a lender. That way, the |
| instead of having a consumer pay for a product | | | | plan member can decide the best way to use the |
| that only paid the loan company, this product | | | | money to benefit their family during a period of |
| actually paid cash to the person who was paying | | | | unemployment. In my opinion, this type of plan is |
| the bill! | | | | best for the consumer. The plan also contains |
| Why don't we have a product like this in the US? | | | | other benefits like debt relief and legal services, |
| After all, over a million Americans have been laid | | | | and can be a valuable part of a working person's |
| off in the last 12 months. People over here, on | | | | financial planning. |
| this side of the "pond", are worried about their | | | | |