The majority of people have mortgage repayments to keep up with and it is essential not to fall behind on them. Arrears with the mortgage that you cannot catch up on will lead to the lender repossessing your home and you being evicted. Just one missed mortgage payment means you have broken the contract you signed with the lender and they will want to know when you are going to be able to catch up. If you fail to make an agreement with the lender then repossession will be imminent.



There are two policies that can be chosen to insure that you would have the mortgage repayment each month. The first policy you could consider is mortgage payment protection insurance. This would just cover your payment each month and the premium would be decided on the amount you insured and your age when applying. Age based mortgage protection means that even those who have taken out a huge mortgage would be able to afford to protect it.

Income payment protection can also cover redundancy and would mean you are able to keep up with your mortgage. This type of policy would also give you the peace of mind needed when it came to all other essential outgoings that needed to be kept up with. You could pay any loan or credit card outgoings and this would keep your credit file from being affected. It would also ensure that the lender would not take you to court and could stop you from obtaining a County Court Judgement. It could also prevent you from suffering the indignity of having bailiffs take your possessions to sell. You would also be able to provide food, heat and light for your family without having to do any juggling of bills or make changes to your lifestyle.

Loan repayment could be kept on top of with loan payment protection. This would keep your credit file straight and as a good credit rating is needed when borrowing in the future this could save you the embarrassment of being turned down. It will also stop the lender from taking you to court to claim back what you owe.

All types of policies taken to cover redundancy would start and end depending on the provider. Some policies might payout your tax-free income after 30 days of unemployment, other providers might stipulate you wait 90 days before putting in your claim. You would then receive an income each month for a certain period; this again differs depending on the provider. Some provider's give you a payment each month for 12 months; others might extend this and give you 24 monthly payments. Along with checking this in the terms and conditions you also have to check to see what the exclusions are. All providers will put some in and the amount can vary but these have to be checked against your circumstances if you are to be sure of being eligible to make a claim.