the Central Bank Proposed a new mechanism of insurance of the mortgage will apply only to new loans and only includes life insurance and estate for the residual value of the loan. Details of the initiative found out “news”.
according to the newspaper, the Bank of Russia increased the interest on loans due to the insurance of mortgage payments, but noted that the total cost of the mortgage will not change or will decrease.
the New concept of mortgage protection provides a direct agreement between the Bank and the insurance company. It will apply only to newly originated loans, said the representative of the Central Bank.
Vice-President of the Association of banks “Russia” Alexey Voilukov told that due to mass applications banks can issue contracts with insurance companies at more favorable conditions and to transmit this discount clients.
the product to execute the Bank will include two main options — life insurance and real estate the carrying amount of the loan, if there is an accident. If a customer wants additional insurance, the kind of opportunity it may offer the creditor Bank, if it acts as an agent of the insurance company, explained Voilukov.
In late April, the Bank of Russia proposed to relieve citizens from the insurance of mortgage payments. According to the concept of the Central Bank, citizens intend to exempt from the need at his own expense to insure the risks on the mortgage. At the moment, borrowers are obliged to insure the purchased and transferred in pledge to the creditor the property, and often their lives and health.
