How to repay Ping An policy loan?

Ping An policy loans only pay interest. Can I not pay the principal first? Is the interest paid monthly or annually?

There are two kinds of policy loans.

One is the policy cash value loan:

This kind of loan can lend 80% of the cash value of the policy, and the loan period is half a year. The loan interest rate is the same as the bank loan interest rate for the same period. If the principal cannot be repaid at maturity, the interest can be repaid and the loan can be renewed.

The other is policy mortgage loan or policy credit loan:

The money that can be obtained by this kind of loan is generally the insured amount, even higher than the insured amount. But according to the monthly repayment amount of average capital. At the same time, it should also be noted that the policy mortgage loan has a handling fee, the loan interest rate is not low, and the average funds are used in disguise. After the loan has been repaid for three years, the actual loan interest rate may reach 50% (because there is still a lot of principal in the later period, but everyone's interest is still so much every month, so the actual loan interest rate has increased. The real repayment in average capital is that the monthly repayment amount is getting smaller and smaller, and this repayment amount remains unchanged from month to month. )

Ping An Insurance takes its own policy loan. What if it has no money?

If it is really unable to repay, it shall negotiate with the lending institution to extend the repayment period or repay it in installments. If the insured fails to repay the loan, the principal and interest of the loan will be deducted from the death compensation in the life insurance policy.

Under normal circumstances, policy loans can only be targeted at policies with' cash value'. Old-age insurance, whole life insurance, old-age insurance, universal insurance, dividend insurance and other long-term life insurance with savings nature.

After one year of insurance, the policy begins to have cash value, and the longer the payment time, the higher the accumulated cash value. These policies can usually be used for policy loans, but the specific situation depends on the specific terms in the insurance contract.

Extended data:

What are the consequences of the loan money?

1. If it is really unable to repay, it shall negotiate with the lending institution to extend the repayment period or repay by installments.

2. If the lender fails to perform the judgment within the performance period after winning the case, it will apply for enforcement.

3. When compulsory execution is accepted, the lender's property, vehicles, securities and deposits will be inquired according to law.

4. If the lender has no property to enforce, refuses to perform the effective judgment, overdue repayment and other negative information will be recorded in the personal credit report, and will be restricted from high consumption and entry and exit, and may even be punished by judicial custody.