Declaring I had cancer to bank/mortgage protection

atilladehun

Hi,

Looking to see if anyone knows of a good service that provides financial advice for people who had cancer. Or failing that if anyone has any experience.

I had cancer last year. Finished treatment in January, doctor is happy it's gone.

I'm switching my mortgage. Haven't told the bank yet. Would love to get some decent advice on what to tell the bank and mortgage protection agency.

Specifically to answer the question:

Can you confirm if you are a smoker or have any medical conditions that will prevent you being accepted at standard rates?

What exactly do they want to know.
How do they react to the news etc


Thanks.

athlone573

atilladehun wrote: »

Hi,

Looking to see if anyone knows of a good service that provides financial advice for people who had cancer. Or failing that if anyone has any experience.

I had cancer last year. Finished treatment in January, doctor is happy it's gone.

I'm switching my mortgage. Haven't told the bank yet. Would love to get some decent advice on what to tell the bank and mortgage protection agency.

Specifically to answer the question:

Can you confirm if you are a smoker or have any medical conditions that will prevent you being accepted at standard rates?

What exactly do they want to know.
How do they react to the news etc


Thanks.

You should be able to carry over your existing policy, check with the broker. I'm guessing that's a standard form but the question would be aimed more at first time mortgagers.

atilladehun

athlone573 wrote: »

You should be able to carry over your existing policy, check with the broker. I'm guessing that's a standard form but the question would be aimed more at first time mortgagers.

Thanks for that. I had called the MP people and that's the vibe I got. Happy to just let the solicitor do that so and only answer them if asked.

The question was from the bank in an email so I would like advice on the answer for them.

Henry Ford III

Don't tell the bank. They don't need to know.

From experience it's highly likely you are uninsurable currently so your existing mortgage protection policy might be as much as you can offer your new lender.

If you are proposing for life assurance and answer the medical questions properly your cancer will be an issue. There's no way around it.

Best of luck.

phormium

Well the answer is yes as you have had something that will stop you being accepted at standard rates.

Check your existing policy and that you can retain and transfer it to the new bank, if yes then no issue really. If you are borrowing more or longer than the amount/term of existing policy covers ask the new bank if you can do a waiver for the additional amount should there be any issue getting cover.

atilladehun

Thanks for the replies.

Just for clarity it's the bank asking that question. Not the mortgage protection company.

Not borrowing more or for longer. Just switching. Was hoping to borrow more later in the year.

blindside88

Generally speaking you cannot get a new life insurance policy until you’ve had a clear diagnosis for 5 years. As has been said already you can usually move your policy with you. Once you’re not borrowing anymore than your sum assured and not for a longer term than your current mortgage you should be fine to move the policy with you. The only caveat to that is that if it’s a block policy it cannot be moved (these are less common now). Best advice is to contact the life company and just advise that you’re looking at switching mortgage providers and ask them what they require from you to indemnify the new company. No need for any medical disclosures at this point.

Henry Ford III

A release deed of assignment would be the only requirement.

Good point on the block policies. Some will have an individual continuation option too.

None of the above would require fresh medical evidence.

stevie.enright

;p

atilladehun wrote: »

Not borrowing more or for longer. Just switching. Was hoping to borrow more later in the year.

Sorry to be the bearer of bad news but this is likely to be a tall order if it is the case that you intend to take out or are required to take out a protection policy to cover the additional borrowings. As I think has being mentioned on the thread already you will typically need to be free from cancer for at least five years to be able to take out life cover with all the major providers in the Irish market anyway.

Working in a Life Brokerage the only person I was ever able to offer terms to who was free from cancer for less than 5 years was a woman who was free from cancer for just slightly shy of the 5 year mark and the cancer was not the most serious type (probably an oxymoron) as I recall. That said there was a considerable loading on it for the term. There was also whats called a per mille loading on the policy for the first number of years (think it was 2 year as I recall but open to correction) - essentially this is a loading of a certain amount per year per every €1,000 borrowed. This was so high as to make the mortgage protection non feasible for the Client as she did not accept the terms which was no surprise given the very large premium.

Sorry if it seems I came on here just to come across as the Grim Reaper. Just want to be as straight up with you as possible as to what you might be likely to expect to happen.

atilladehun

Thanks for getting back to me. I really appreciate it.

As I see it when I rang my mortgage protection policy people they said they wouldn't have any questions, it's not a change of policy to switch mortgage when the amount doesn't change. My solicitor does all the work and I'm not involved.

It's the email from the broker that's asking the question. Now that I've read what's here and re read the email I'm not convinced it's a question from the bank. It looks like the broker is trying to sell me life assurance.

Quote:
NAME can send you quotes for life assurance. Can you confirm if you are a smoker or have any medical conditions that will prevent you being accepted at standard rates?

I'm just going to say I don't need life assurance, my current mortgage protection covers it.

It looks like our extension plans are in more trouble. Are there ways to approach this? Can family be grantors? Or anything else?

phormium

Regarding the future borrowing, yes the bank will normally require life assurance for it if it's a top up to the existing mortgage, however the bank can waive that requirement under the Consumer Credit Act but they don't have to, it depends on individual bank policy.

So basically check with the bank you are switching to what is their policy on life waivers, it differs between banks depending on sometimes if the person who can't get the cover is the sole earner or the main earner and the amount/term etc. You at least will be in the position where you will have cover for the existing amount. Unfortunately I'd say UB were about the easiest to get a waiver with!

atilladehun

We had the loan offer from Ulster Bank just as the news started to creep out in November. Couldn't go with them in the end. Such a pity. I feel for their staff.

Thanks about the waiver advice. I'll look into it but as we've mortgage protection and that's related to a specific amount I won't hold out hope for it.

My wife and I are pretty equal earners. May just have to see how much she gets offered if we can't come up with any other arrangements.

Does everyone always do their top up with the same bank?

phormium

You have to do your top up with the same bank, only one set of deeds to the house! Bank will want security over house for mortgage/top up so they have to be same place. Other alternative is not to get a top up to the mortgage and go with personal loan somewhere, bound to be more expensive though!

Re the waiver, you are actually in a better position than most looking for a waiver as you have some existing cover, most people in that boat are looking for a waiver of the full amount of the mortgage whereas you would be only looking for a waiver on the additional amount.