Merlin Mortgage Management Ltd

Aims to provide an income to cover mortgage payments should the borrower suffer an accident or sickness and/or lose income through unemployment before the end of the mortgage term. Benefits are usually payable for a maximum of 12 or 24 months.

The Financial Risks....

Accident and Sickness Element

If you suffer a serious accident or sickness, you could be out of work for a significant period of time. Many employers do not maintain your income in full, and you may therefore have to manage your mortgage repayments with substantially less money. The State provides limited assistance and then only after a significant waiting period.

Unemployment Element

If you lose your job, you may be out of work for a significant period of time. During any period of unemployment you may have substantially less money available to manage your mortgage repayments. Again the State provides limited assistance in this event, and only after any relevant qualifying period.

If you miss monthly mortgage payments your home is at risk of repossession, and your future credit record could be impaired. You should maintain Mortgage Payment Protection Insurance to provide you with sufficient income to meet the cost of your monthly mortgage repayments and any other debts and household outgoings in full should this situation arise.