When Helen Agnew added Debt Protection to her car loan from CU Community Credit Union, she had no idea that it would be a safety net she and her daughter needed when she became unemployed. She recently shared her experience with CUNA Mutual Group.
What is debt protection?
If you're like most people, you may be worried about unexpected, real-life events that could happen during the term of your loan. Losing your job or getting injured may leave you scrambling to pay your monthly bills. CU Community offers Debt Protection, which can relieve the pressure of your loan payments during certain unexpected events.
Debt Protection protects you, your family and your credit rating. You have the peace of mind knowing your monthly loan payments will be covered in the event of death, disability and involuntary unemployment. We've summarized a few frequently asked questions to help you determine whether Debt Protection could be useful to you.
Debt protection is an agreement between you and the credit union. Depending on the package you select, debt
protection can cancel or postpone the principal and/or interest portion of your loan payment up to the agreed
maximum if you become involuntarily unemployed, disabled, or in the event of your loss of life.
Why would I need this protection if I have disability benefits through my employer?
Employer disability benefit packages may cover only a portion of your salary or offer no protection at all. You should check with your employer on your disability benefits.
What types of loans are protected?
Debt Protection is offered on all consumer loans including personal, vehicle, home equities, and credit cards. Home equity lines of credit and mortgages are not included.
Is debt protection expensive?
The fee is specific to the amount and term of your loan and the protection package you select. The fee is automatically scaled to the amount of protection you select since it is calculated against the outstanding loan balance.
I have an existing loan with the credit union, can I protect that loan with debt protection?
Yes, you may enroll in Debt Protection at any time.
What if I change my mind?
You may cancel debt protection at any time during the life of the loan by providing the credit union with a written notification. If you decide to cancel protection within the first 30 days after the purchase, the credit union will refund any program fee that may have been charged to the loan(s) during those 30 days.
To learn more, email
or call (417.865.3912) the loan team today.