Often when applying for a loan, it becomes necessary to sign an agreement on a life and health insurance service. This is called “financial protection” by bank employees. As a rule, such an additional service is practiced by all banking organizations. JSC "Agricultural Bank" is no exception. Most often, the signing of such an agreement is an important condition for approving a loan at a favorable rate. As practice shows, in some cases, the refusal of this service may lead to the disapproval of a client's application for a loan. About what it is necessary for and whether it is possible to return insurance on a loan at the Rosselkhozbank, we will discuss this article.
Why is it needed?
On the part of the bank, the existence of life and health insurance for the loan to some extent serves as a guarantee of the return of borrowed funds. In the event of the death of the borrower or his disability of the first or second group, the company in which the policy was received, according to the previously concluded agreement, is obliged to pay the bank as the beneficiary the balance of the debt on the debt obligations of its client. In the absence of a policy, this amount is paid by the borrower's relatives - in case of his death (persons who have inherited, if any), or the debtor himself, if he is alive.
On the part of the borrower, the design of such a policy may seem pointless and costly. Therefore, many are wondering about how to return insurance on a loan at the Rosselkhozbank?
As practice shows, many prudent banks' clients still go for the purchase of such a service, thinking about the future and the fate of their relatives, warning them of possible costs. Indeed, in the event of his death during the period of the loan agreement, the heirs will have to fulfill their obligations under the debt agreement. This service is especially relevant for people of advanced age, as well as borrowers who take large amounts for a long term loan.
When applying for a mortgage or a loan secured by real estate, life insurance is an essential condition. Without insurance, a loan will most likely simply not be issued. However, when obtaining a loan secured by real estate or a vehicle, the type of insurance is completely different than when registering a consumer product without collateral.
In the latter case, this service is voluntary. According to the law, a bank cannot oblige a borrower to pay for this type of insurance. But many financial organizations, including Rosselkhozbank, subject to insurance, go to reduce the annual interest rate on the loan. It turns out that concluding an agreement on the design of the service in question is even beneficial. But here many have a very reasonable question: does Rosselkhozbank return insurance? After all, the loan was repaid safely, sometimes even ahead of schedule, and the money for the policy was overpaid.
Insurance amount, premium and payment - what is the difference?
By law, in the event that the loan under which the policy was issued has been fully repaid, but the insured event has not occurred, the possibility of repaying the amount of the premium to the borrower may be considered. Whereas at Rosselkhozbank return credit insurance? Previously, there was such a rule that the amount is returned in case of early repayment at the request of the borrower. Today the legislation has changed. And the return on insurance issued after 2016 is somewhat different.
The premium is understood as the amount paid by the borrower of the company when applying for the policy. The insurance amount is the amount within which the company is liable in accordance with the contract concluded with the client. It is on the basis of it that the amount of premium and payment is calculated. Payment is the amount due to the beneficiary (in this case, the bank) in the event of an insured event.
Is it possible to return the insurance and money paid for it if the borrower changes his mind?
If the borrower believes that the policy was imposed on him, he does not know how the contract was signed, he can refuse the previously purchased service. To apply for a refund of insurance on a consumer loan, he has exactly fourteen days (previously five) since the conclusion of the contract. For this, it is necessary to apply with a passport to the bank branch in which the contract was signed and write the appropriate application. Before returning loan insurance to the Rosselkhozbank, employees of the company will check the lawfulness and possibility of fulfilling the client's application. They have 10 days for this. After the application is considered and a positive verdict is issued, the funds are returned to the borrower's account. Many direct them to partial early repayment of the loan itself.
Repayment option with full early repayment of the loan
In case of early fulfillment of debt obligations to the bank for which the policy was issued, it is possible to issue a return of part of the insurance premium.
For this, the period of actual use by the client of the financial institution’s funds is calculated. During this time, insurance must be paid. The remaining amount is refunded.
Before returning loan insurance to the Rosselkhozbank, after writing a statement, you must also contact your branch in which the loan agreement was signed, draw up full early repayment, get a certificate on closing the debt and contact the company with it. Only after that does the borrower have the right to apply for a refund of part of the premium.
The application form can be obtained at the office of the insurance company or on its official website. However, there are time limits when a borrower can apply for a refund of loan insurance to Rosselkhozbank. It all depends on the term of the loan and on the terms of a specific contract, which must be read carefully before signing. The terms of the contract may provide for the impossibility of returning the amount of the insurance premium or set a limit of six, nine or twelve months.
Insurance companies accredited by Rosselkhozbank JSC
To date, this financial institution has been cooperating with the insurance company CJSC IC RSHB - Insurance. The list of insurance claims of the policies of this company includes:
- Borrower death (natural or accident).
- The borrower receiving a disability of the first or second group or a serious illness in which he loses part of his income.
- Reduction of the borrower at the place of work.
At the same time, the client can independently choose which items to include in the policy. With the increase in the number of points, the cost of the service will increase.
What can be done if insurance is refused?
If the borrower did not manage to apply for the return of insurance within 14 calendar days from the date of signing the contract or if he was refused the application, it is possible to return it through the court.
Each borrower must understand that the bank itself is not involved in insurance. For this, there is a company with which he collaborates. She filed a lawsuit in the court in this case. Before engaging in legal proceedings, it would be advisable to consult with a lawyer about the necessary actions. And of course, this will require some material costs.
How to return loan insurance at the Rosselkhozbank: instructions for borrowers
After the borrower has the appropriate right to initiate the process, he can as follows:
- Contact the insurance company in which the policy was issued, with the appropriate statement.
- Provide the necessary package of documents (an agreement previously concluded with the insurer, a loan agreement, a certificate on early closure of debt, etc.) Each organization may have its own list of required securities.
- Wait for the application to be considered.
- If approved, get paid. In case of refusal, analyze the reason and, if necessary, file a lawsuit with the judicial authority.
Conclusion
Judging by the reviews, it is quite possible to return insurance on a loan at the Rosselkhozbank. It is only necessary to approach this wisely and familiarize yourself with the algorithm of necessary actions in advance. And of course, carefully read the terms of the contract before signing.