What happens if we pay home loan before tenure?- Property hotline
August 26, 2016
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2:32Now PlayingWhat happens if we pay home loan before tenure?- Property hotline
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as posted by the channelExpert: Kartik Jhaveri, Founder & Director of Transcend Consulting India Pvt Ltd.
Question: What happens to the home loan insurance if one fully prepays the home loan before the tenure?
Answer: In case of most home loan insurance plans, the cover size is linked to your outstanding loan amount and the sum assured reduces along with the liability as one repays the loan. In the event of death of the borrower during the loan tenure, the insurance company will settle the outstanding loan with the bank.
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