Have a Loan Against your Whole Life or UL Policy ?
Many people that have Whole Life or Universal Life Policies borrow funds to pay for "stuff" ---- yet somehow life gets in the way and the loan is never repaid. Sound familiar?
What Happens if My Loan is Not Repaid
- Interest is charged on the outstanding loan, and compounds over time.- The compounding loan reduces the policy cash values and reduces the policy death benefits when the insured dies.
What if my Policy Lapses before I Die ?
When your policy runs out of funds to continue to pay the internal costs of maintaining the policy, your coverage ends and your policy lapses.A lapsed policy with an outstanding loan can trigger a significant income tax liability while you're alive.
What Can I do to Prevent a Policy Lapse or a Big Income Tax hit ?
Reach out to me for a complimentary discussion about some options to consider:
[email protected]
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