Hi all,
I've only been doing this a little while but I have great backup from my manager with years of experience. Went to see a referral and came upon a situation that has us both stumped.
Prospect is 64, in good health with no medical issues. Wants a 400K Universal life (good, right?) but here's what she wants to do -
Pay 2 year's premiums up front
Then make normal monthly payments
Borrow $200K from policy within first 30 days to pay for invalid sister's medical and LTC expenses
Continue to make payments on the policy for remainder of her life
Obviously we told her she couldn't borrow more than the CV in her policy. She claims that she already had an offer prior to our meeting that said she could do this. On more discussion and thinking, the only way we could see this working is through a viatical settlement.
But the lady claims she will still be owning the policy and making premium payments. Went through our brokerage clearing house and they said they knew of no one who would do this, especially considering the prospect's good health. And they said said there was no possibility of her retaining ownership of the policy.
Just to be entirely certain we aren't missing something, is there some way to accomplish what this lady is asking? Is there someone out there willing to work a transaction like this?
I've only been doing this a little while but I have great backup from my manager with years of experience. Went to see a referral and came upon a situation that has us both stumped.
Prospect is 64, in good health with no medical issues. Wants a 400K Universal life (good, right?) but here's what she wants to do -
Pay 2 year's premiums up front
Then make normal monthly payments
Borrow $200K from policy within first 30 days to pay for invalid sister's medical and LTC expenses
Continue to make payments on the policy for remainder of her life
Obviously we told her she couldn't borrow more than the CV in her policy. She claims that she already had an offer prior to our meeting that said she could do this. On more discussion and thinking, the only way we could see this working is through a viatical settlement.
But the lady claims she will still be owning the policy and making premium payments. Went through our brokerage clearing house and they said they knew of no one who would do this, especially considering the prospect's good health. And they said said there was no possibility of her retaining ownership of the policy.
Just to be entirely certain we aren't missing something, is there some way to accomplish what this lady is asking? Is there someone out there willing to work a transaction like this?
