Contracts signed, but can't get life cover

If you stick to the basic facts non smoker, social drinker and go to the very big names that do internet cover they will never look for a GP report.

It does work if you know exactly what you are doing.
 
Time said:
If you stick to the basic facts non smoker, social drinker and go to the very big names that do internet cover they will never look for a GP report.

It does work if you know exactly what you are doing.
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The contract is void: very nasty for your spouse/dependants/estate if you die before mortage is paid off! The insurance company will investigate the claim, there is no doubt about that
 
I think the op knows that, it is just to get around the issue and draw down the mortgage.
 
OP did you hear back from New Ireland yet? I have 2 friends in a similar situation and are frantically searching for a company to assure them.
 
Bonnielass - yes, got confirmation yesterday that they have declined me also. I talked to AIB Mortgage Lending yesterday and they have said that they actually process quite a lot of applications for life cover waivers for mortgages. I have to submit the confirmation letters from the three companies that have declined me to them next week and they will come back with decision on waiver within 48 hours. I hope to have everything finally sorted within two weeks.

They made it seem pretty routine to be honest which is some reassurance. Then again, I won't believe this is all finally sorted till I have the apartment keys in my hand!!
 
And......still it continues.

So much for relying on AIB to issue me with a waiver. After sending them original letters from each of the insurers (x3) who declined me life cover, their lending department said they would not issue me with mortgage funds until I had 30k worth of my own life cover in place. I then had to state the bleedin obvious to them, i.e. it is due to me being flatly rejected for life cover that I applied for the waiver in the first place. At this stage I can't even go down the road of applying for this 30k worth of cover as it would be more than likely a full week or more before they get back to me (and the answer will more than likely be no). AIB then countered and said that the real issue was due to the fact I was looking to borrow 92% LTV. I asked them whether me adding additional funds to my application and thereby reducing the LTV would help? They then came back to me later today and are now looking to reduce the LTV to 75%. This works out to a further 30k they now want me to stump up. If I can't do it, the whole thing falls through. You'd swear I was looking to borrow over 500k but the actual total I am looking for is nowhere near this.

If I do succeed in getting this mortgage drawn down, out of sheer principal I will be closing all of my accounts with AIB and moving them elsewhere. Couldn't stomach them making any additional money from me outside of the mortgage....if they ever give it to me.
 
Finally got this sorted with AIB but had to put up additional funding to bring mortgage LTV to 83% (was 92% originally).

For anyone else in same position, it may help avoid lengthy hassles on securing mortgage funds with AIB in the event you can't secure life cover by asking them if they require further funding from your end.

Thanks to everyone who commented on the thread.
 
Hi watpoae

Well done, but I think you are being hard on AIB.

They would be taking a big risk by giving you a 92% mortgage without life cover.

They are still taking a risk at 83%, but not as big a risk.

I don't think that many people would be in a position to up the deposit from 8% to 17%, so I wonder what they do?

Brendan
 
had a similiar issue with AIB in 2009. they point blank refused to even consider a waiver because of the ltv being 92%... in answer to Brendans question they refuse the mortgage application as the condition has not been met...eventually i did get life insurance. Its probably their policy that the risk is too high at 92% for a waiver to be allowed.
 


Was there anyway you could have gone to 80%? that extra 3% would have dropped your interest rate by 0.20% into the LTV <= 80% bracket
 
for people that cannot get life cover. Some jobs have death in service benefit. If you have it mention this to the lender if your requesting the life cover to be waived it will give the lender additional comfort when they are making their decision to waiver the life cover.
 
Hi there, I was wondering if someone can explain to me what happens in the following situation:
- my husband and I have a joint mortgage and we have applied for mortgage protection insurance
- I get refused but my husband gets it
- the bank waives it for me

If my husband dies first, the bank will pay his part of the loan.
What happens if I die first?

Thanks a mil.
 
The mortgage remains and he continues paying.

It's not that the bank pays his part of the loan if he dies either, the life insurance company pays out on the policy and the mortgage is cleared from this. However in your case there is no policy so nothing would change and the mortgage would continue as normal.
 
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