Facing a terminal illness can be a devastating experience. You have so many different issues you need to deal with, including your treatments, quality of life, emotional impact, and the impact on your family and friends. Ideally, you can focus on your health and quality of life and not have to worry about everything else, but that is often not the case.
Terminally illnesses take an enormous toll on families both emotionally and financially. Having to worry about money during a family health crisis feels wrong and inappropriate, but the last thing you need is to have to worry about being homeless.
When being treated for a serious or chronic illness, the medical bills will pile up quickly. Even those with relatively good insurance may feel overwhelmed by the number of bills they start getting. Sadly, many families face the real possibility of bankruptcy or foreclosure because of medical bills.
Having to worry about losing your home while fighting for your life is not a situation anyone should have to be in. Fortunately, you have options. For example, life insurance settlement companies will allow you to exchange your life insurance policy for cash upfront.
You may be thinking if you’re terminally ill, your family is going to need that life insurance policy. While the idea of life insurance is that your family has that money after you have passed, if your family is at risk of losing their home, they are going to need that money sooner.
Cashing in your life insurance policy will allow you to stay current on your essential bills and set money aside for your family to use after you have passed. If you’re concerned about funeral expenses, you can prepay all of those expenses, so all your family needs to do is call the funeral home and make the arrangements.
In your final days, you can have peace of mind knowing your family is taken care of and has a safe and comfortable place to live. The stress of knowing your family may be displaced is not suitable for your health. Even if you know you’re not going to survive your illness, you want some quality of life that does not include financial stress.
You can also try to work with lenders to refinance your mortgage. And kansas city mortgage lenders such as Metropolitan Mortgage have more than 20 years of experience in the mortgage industry. They’re known for their honesty and integrity in how they work with their customers.
Refinancing your mortgage can allow you to lower the payments, which may make them more feasible while you’re unable to work. You can talk to a lender to learn what your options are with the house you own. If refinancing is not an option, you may be able to set up a period of partial payments or another alternative payment arrangement for a short period.
You may also consider both options. You can cash in your life insurance policy and use some of the money for a new down payment to refinance your mortgage, which would potentially drastically lower your mortgage making the home significantly more affordable for your family once you’re gone.
Regardless of the path you choose, it’s essential to talk to your family about what you are doing because it will directly affect them. However, it’s ultimately your decision. Speaking to financial professionals about your options may also provide valuable insight into your decision-making. Letting your family know what you’re doing and where all the important documents are will help them in the transition.