Tip:Big Saving on Mortgage Payment Protection

U

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Just wanted to share some money saving advice.

Had to purchase mortgage payment protection this week and was told about this site called www.monitum.com.

When you are purchasing mortgage payment protection you do it throught the site and for the first year they recieve 90% commission back from the financial instutions and they pass this back to you less a €25 fee. I have just saved myself €173 and my policy will cost me approx €3 per month.

Keep in mind that this is only for the first year.
 
Do you actually mean mortgage (re)payment protection or do you mean mortgage protection life assurance? How will the cost per month in year two onwards compare with what's on offer elsewhere?
 
Bought life assurance via Nick at Monitum last year and was highly satisfied with every aspect of the service. Cheapest of all the online brokers. Highly recommended.
 
Does this mean that in year two the same insurance will be costing you €19.50 per month?

€173 saved + €25 fee + (€3 per month x 12) = €234 per annum = €19.50 per month.

Tell us more!


Unregistered said:
Just wanted to share some money saving advice.

Had to purchase mortgage payment protection this week and was told about this site called www.monitum.com.

When you are purchasing mortgage payment protection you do it throught the site and for the first year they recieve 90% commission back from the financial instutions and they pass this back to you less a €25 fee. I have just saved myself €173 and my policy will cost me approx €3 per month.

Keep in mind that this is only for the first year.
Click to expand...
 
The Keep in mind that this is only for the first year bit really makes it sound like an ad alright.

Whoever designed that web site must be colour blind, it's awful.
 
I agree. Nobody seems to have learned from google that simpler is better.

Actually I emailed this company for a quote. They are brokers offering a reduced commission. Here's what they sent me (along with a list of quotes from 8 major insurers)...

____________________________________________________________
exerpts:

The best price obtained for you for a 10 year EUR150,000 mortgage protection policy to repay the loan at interest rates of up to 6% was 20.40 per month or 232.83 per year. The Monitum CashBack (refund of commission) reduces the effective first year cost to 4.12 monthly or 48.28 if paid annually.

Should you wish to use Monitum for your mortgage & mortgage protection policy we will pay for your first year’s premiums on the policy_ effective cost = zero. In addition we will contribute €127 towards the valuation.

These protection rates are based on the Life Assurance Company accepting you at what they call normal rates (i.e., in good health). Your own medical history needs be considered when agreeing terms.

Monitum aims to beat offers from any other broker or financial institution, be it on price or terms.*

Now the amount of CashBack/refunds offered on protection polices is a refund of all of the initial commission we are paid (itself normally ninety percent of the first year's premiums) less Euro 25. With policies where the premium is collected annually by direct debit the CashBack amount will be paid by cheque 2-5 weeks from the start of the policy.

Paying monthly the CashBack amount on the above Eagle Star policy will be 195.32 (20.40 x 12 = 244.80 x 90% commission minus 25). Paying annually the CashBack will be 184.55 (232.83 x 90% commission minus 25).
____________________________________________________________

I haven't checked out their mortgage deals. Looks like they're hoping to sell the whole package.

Can't see any problem with this -- it reduces costs. The "standard" commission (90% of premiums in year one) is hefty enough, isn't it?

Now what I'd like to know is what would happen if you sign up for this, get your "cashback" after 5 weeks, then cancel the policy. Can you really walk away with the €140 "profit"?
 
The best price obtained for you for a 10 year EUR150,000 mortgage protection policy to repay the loan at interest rates of up to 6%
Click to expand...
Does this mean it only guarantees to cover the loan if the interest rate doesn't exceed 6%? That's not much of a buffer if you ask me. I'm sure that my current mortgage protection policy allows for an interest rate of up to 8%.
 
That was based on a 3.55% mortgage.

I'm sure "unregistered" will be back with some more details!
 
It wasn't an ad. I used the service and was simply passing on a hint. The only reason I added on the last bit it because when I looked at it initially I thought it was that price every year, so I was just warning people. Too many cynics out there.

The 2nd year it will be the full cost i.e. 220 but then by then another broker may be doing a similar offer and you take your business to them. Simple.

As for the "unregistered" comment, my login in isn't working since the ez board changeover!
 
Sorry to hear about your login probs, unregistered. As a longtime AAM user, I'm sure you understand why people might have thought this was an ad!
 
Have been dealing with Nick over the phone and e-mail and I am confident that there are no strings with this product. I'm going for it as he is matching the best of the rest anyway. There is no clause tying me in if I am unhappy (or want to shop around) after the first year.
I have to admit that initially I was cynical too. I'll follow up with how I get on.
 
Unregistered said:
As for the "unregistered" comment, my login in isn't working since the ez board changeover!
Click to expand...
You need to re-register on the new vBulletin based system - old ezBoard logins were not migrated over.
 
I got a similar half price deal for my first year with mortgage protection, and do plan on shopping around next/every year.
However can you continue to chop and change availing of promotional offers indefinitely taking into account year older, medical health,decreasing term, reliability of companies etc. Or could that backfire or the culd the premiums end up to high, e.g. if my annual premium was say €200 and I took another special offer next year with a higher annual rate , they're could be a possibilty I could be locked into that if circumstances changed or I couldn't get a cheaper quote.
 
potnoodler said:
However can you continue to chop and change availing of promotional offers indefinitely taking into account year older, medical health,decreasing term, reliability of companies etc. Or could that backfire or the culd the premiums end up to high, e.g. if my annual premium was say €200 and I took another special offer next year with a higher annual rate ,
Click to expand...
One possible 'catch' with this approach would be any health issues which arise during the year which would impact your ability to get a competitive quote for the following year.
 
I did this twice - got my mortgage protection for 10% of the year's premium.

Last year, I was busy and didn't get around to switching.

This year, I got a quote and the premium has gone up by around 15%, which struck me as very high.

The amount of the mortgage is the same.

But
I am two years older.
And the quote was for two years less - 17 years instead of 19 years.

I gather that premiums are rising again.

So I decided to pay the full premium again this year, as it would be getting more and more expensive and they will eventually cop onto it.

Brendan
 
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