Anyone pay for credit card protection on their credit cards?
Wednesday, June 23rd, 2010 at
3:55 pm
Is it a good idea or unnecessary? I have credit protection on all my cards and I’m spending good money for it. But I’m betting that if I lost my job they would make me jump through hoops to get them to honor the protection while I was unemployed. Anybody out there experience this?
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Ain’t worth it. Get unemployment insurance.
Its not worth it… All that money that youpay for it, is just money in there pocket. And if you do get sick they are only going to pay the minimum, which wont do anything… I’d save the money
The only company that actually paid on our credit insurance is Sears. We simply sent in what they asked for and they sent us a check, Capitol One and the others had a reason why we didn’t qualify, and I felt like I threw my money away. But I still think its a good idea.
Don’t do it…just another way to get money out of you. Look at life insurance or unemployment insurance from a trusted company.
It is not a wise investment, but is a great profit center for the bank and insurance company. The odds of collecting are relatively nil. They pay the full amount of your balance if you die and the minimum payments for up to a year depending on your age and regulations of the state in which you reside if you lose your job and meet their restrictions.
A better option would be to get cheap term life insurance privately or through work if you are supporting a family, save the premiums in a high interest money market or savings account or use the funds to pay down the cards and relax.
I paid for credit protection some years ago. It was worth the extra money as I got laid off from my job. No, they really don’t make you jump through hoops. You just have to send them you unemployment form every month to get the bill paid. Keep in mind however, that you may have to pay taxes on that money at the end of the year, if you ever use it. I got a couple of 1099’s from a couple of companies and a couple of them I did not. So just beware.
I do know – a couple years ago my purse was stollen. I had
a ton of credit cards in it – so many I could not even name
them, they were all empty balances so I began to cancel
the ones I could remember – I was freaking out thinking about
what could happen. I now have credit protection from Discover and it only costs 9.99 a month and if my credit
changes I am notified, even if someone does a credit check
on me. I also get a credit report very 3 months with my credit
score and activitity of ALL my credit cards and loans. If my
purse is lost or stolen again – they can cancel all of them for me. I recommend it completely.
Hope this helps – have a great day