Mortgages with a Spanish Bank tied with Insurance Policies

[timmylish]

Thought that I should bring this to the attention of all our members who have the above. Mrs.T. concluded the purchase of her apt. this time last year and the lending bank, Santander, basically forced her into submission of taking a Life Policy to cover the principal sum (some say like a mortgage protection Policy which it is not!) and also Building cover (separately). At the time she was very much against taking insurances with them but it was put to her. Take ours or leave the mortgage! Anyway to-gether with the considerable assistance of TIS (Forum member), the advice given by them and all in English Mrs.T. has canx. both Policies and taken out better cover at prices, which I,m sure you,ll agree, is considerably more attractive.
Life Cover with Santander for the basic principal sum pa. was 635€,s and for the Building, again only the principal sum, was 240€,s. TIS were able to provide a Life policy at a level far exceeding that previously insured for pa. 230 a saving of 400€,s pa! and the Building this time with contents is 220 but with a special offer currently available a further 50€ is refunded making a saving of 70€,s
So to everyone who has a similar mortgage arrangement please, please consider your position and perhaps consult a broker locally and obviously I can thoroughly recommend Chris at TIS, Las Chafiras.
The only point of caution is to ensure that you canx. at least 2 months prior to expiry date (and there are certain stipulations hence consulting an experienced broker) and save yourself a fortune! A policy at a sum of of more than 30% saving is serious money in anyone,s language.:crazy:

[timmylish]

HaHa!
So no else has had this problem (and I don,t think!).

[CIM]

I have it on every mortgage! I advise clients to take the hit, check what the cancellation policy is and so long as its not onerous, cancel after the first 3 months or first year, then if they are resident, get a new policy here, if non-resident, increase their cover in their home country.
So long as you dont get screwed with the lump sum upfront policy then this is the best thing to do.
Almost every bank now insists on life cover and its particularly hard on older clients as the premiums can be very high.

[timmylish]

Aye CIM. Spot on. I was just rather surprised that no-one had reacted to, what must be a very common problems, as you yourself have clearly indicated. Also i felt that it might have been of assistance to other members who had not been so fortunate to receive excellent advice. From reading your posting it may be that you have acted for nearly all the members of this elite Forum!!!!!!!