Life Insurance Loan

WorkingMom10

Has anyone taken out a loan against their life insurance following their diagnosis to help with expenses? I am starting a clinical trial in a couple of weeks that will cause me to miss a lot of work and lose income. I have seen this service offered through either Fifth Season Financial and Life Credit Company? I still work, but medical expenses are starting to pile up, my son starts college in the fall and I can really use the money.

edwards750

We did WorkingMom10 but not for my BC DX. Ours was a dramatic increase in child support. It was a long time ago but you know you do what you have to. If that’s your best option and it affords you peace of mind financially I would do it.

I am not a financial whiz and Idk the fall out from doing that so you might want to ask the people at the insurance company and if/when/how long you have to pay it back. I know they charge you interest. Ours was 8%.

We lucked out because the life insurance company we borrowed from - it was my husband’s - went bankrupt not long after we did that.

Good luck!

Diane

MelissaDallas

Most insurance companies will pay you a large percentage of your policy benefit up front if you have been diagnosed stage IV. It is worth talking to your own insurance company first to see what they offer.

WorkingMom10

Thank you! I work for the federal government and am considering applying for the accelerated death benefits. I have mets to bone and lymph nodes and am hoping to be here for a long time, but I have heard that some oncologists will sign off on the form for any stage 4 patient. Those funds will really help me out if I can get them.

Georgia1

WorkingMom, you've probably already thought of this but if you work for the federal government you may be able to borrow from your TSP on better terms, and temporary disability is an option as well. Someone at OPM may be helpful in helping you understand all of your options, including the loan against life insurance. I wish you the best.