Whole life insurance + “enricher” or extra payments on the mortgage?
September 18th, 2010
Question by Mathew Cartier: Whole life insurance + “enricher” or extra payments on the mortgage?
I pay an extra 500 on my mortgage payment every month, I am content doing this. It will have my mortgage paid off in 17 years instead of 30. My insurance agent has told me that I would be better off taking that extra money and putting it into a whole life insurance policy with an “enricher” rider, taking the tax benefit of my mortgage interest, and allowing the life ins. policy to grow to a point where it can be used as a pay-off. I have never heard of this before and am certainly confused. Paying off my house is a pretty important matter to me but so is life insurance.
Best answer:
Answer by Judy
Insurance agents are there to make money by selling products.
They do not have your best interest at heart.
He just wants you to pay for his new Lexus that he is planning to buy.
With less debt – you don’t need as much life insurance.
Whole life insurance is not the best deal anyway – term is.
Suze Ormand is always saying this.
There is no more rewarding feeling that paying off a home.
Enjoy the peace of mind you will have in your future years.
And keep an eye on this insurance agent – don’t make hiim rich.
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