Are you planning to buy a house or you want to re-finance your existing home loan? Don’t do it, till you see this presentation, it can probably can save you some money!
Usually housing loan is accompanied by MRTA, MDTA or MLTA or the sort of insurance (let us just address it as MRTA) so as to cover the outstanding loan amount to be settled in the event the borrower(s) suffers Total Permanent Disability (TPD) or dies prematurely. MRTA is not compulsory but it is recommended for at least it can prevent foreclosure of the said property and thus the family will have a roof to reside in case the borrower(s) passes away. However, MRTA may not be an ideal solution to your home loan! Why do I say that? Even though the purpose of MRTA is commendable, there are a few setbacks in MRTA.
For instance, MRTA is non-transferable! Meaning, when you sell one house to buy another, you cannot bring the MRTA from the old house to the new house! And since MRTA is a form of Life Insurance (Term), the premium will inevitably increase due to your increasing age when you buy the next house (as we grow older, further health complications may incur the premium to get rated/ loaded). So, what needs to be done? You need to see the presentation to know more. Or you may also visit my website at and go to the ‘Mortgage Info’ to know more.