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Email to a FriendHow do I take out a loan on my life insurance policy?
How do I take out a loan on my life insurance policy? What are the pros and cons of doing so?
By Dennis Cherenkov - Primerica Financial Services
Answered almost 2 years ago
In my opinion there are no pros to taking a loan on your cash value in your life insurance policy. As a matter-of-fact your probably better off cancelling that policy after getting a good term life policy in place and then investing that cash value money in a good mutual fund.
Keep in mind the cash value in that policy is YOUR money why would you take your money and pay interest to someone else? Cash value life insurance is a rip-off for many reasons, and that is one of them.
