Mortgage protection cover – or mortgage payment protection insurance (MPPI) as it can be known as – is taken out to ensure that if you should come out of work through accident, sickness or unemployment then you will have a predefined monthly income which will last for around 12 months.
Mortgage protection cover can be expensive depending on where you purchase it from and all policies aren’t of the same quality. Therefore, before you sign on the dotted line, you need to do your homework first and shop around. Only by seeing what is on offer in the market place can you be assured of getting the cheapest mortgage protection cover along with a quality product.
With its recent bad publicity, faith in payment protection insurance products is at an all-time low. The payment protection insurance sector has recently taken a beating. However what the consumer needs to understand is that it isn’t particularly the products themselves that are at fault, but those who sell policies.
The many problems that have cropped up from the recent investigations by the Financial Services Authority and the Office of Fair Trading into the sector has shown that it is the poor selling techniques which stems from ignorance of the product that has caused wide mis-selling of policies.
When you want a specialist product then you would normally shop at the correct store. For example, you would buy a TV from an electrical store, simply because they know about the product they are selling. The same applies to mortgage cover. The high street lenders are trained to sell loans but very few are trained properly in the selling of mortgage protection cover.
This is where the majority of the problem lies, along with the high street lender being greedy and wanting to make huge profits from mortgage protection.
In fact, it is accepted that around