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Yes. If you do not have insurance on a car or house that is used as collateral for a loan the lending institution can take out insurance and charge you for it. The insurance THEY use will be far more expensive than what you can purchase privately, and will not protect YOUR interests, only theirs.

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โˆ™ 2005-09-20 11:47:47
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Q: Can a bank add insurance to a loan?
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Related questions

Does a bank have to refinance a car to transfer payments to someone else?

Yes. Or the bank can "add" you to the loan and retain the originator too making the loan a "joint" or "co-signed" loan.

What companies offer home loan insurance?

There are many companies which offer home loan insurance. These include the ICICI Bank, HDFC Life and SBI Life. Another company to offer this insurance is HLIC.

What is the word for taking money out of the bank?

withdraw or withdrawal Bank of America was taking $ 304.00 out of my mortgage payment every month for my mortgage insurance. I had no mortgage insurance on my FHA loan. Bank of America could not give the money to HUD because my loan was not insured. So why was Bank of America taking the money without my permission. Bank of America was aware my loan was not insured, but they money was continually being taken out of my loan payment illegally. Robert

I want to get an insurance claim that I got with an auto loan from a bank. How can I go about it?

Approach the bank that you have the agreement with to discuss the issues

What is the cost of a bank loan called?

Under FHA, the cost of a bank loan is called a MIP, or mortgage insurance premium. Some banks also call this the interest on the loan. A person borrows a certain amount from the bank and then pays a percentage on that money borrowed.

Where can you go to obtain a loan threw the FHA?

When you get an FHA loan it is not funded directly through FHA. FHA is essentially an insurer for loan. So the Mortgage Insurance paid on an FHA loan is an insurance policy for the company giving you the actual loan. Most any bank or lender can give you an FHA loan.

What happens if an insurance makes out a check to myself and a bank?

You have had several things happen:You bought a car and as is the law requires told the insurance company who was financing it, and probably you have total loss or "gap" coverageThen you got into a crash that totaled the carThe insurance company knows you have to clear your car loan, and because of the coverage type, your bank has to get the moneySo you have to take it to your loan officer and get them to use the funds to clear your car loanYou will have to sign the check and the bank will take it and apply to your loan.

Where can one get good personal loan insurance?

Usually you can get a personal loan insurance from the bank you are taking the loan from, or from an insurance company. There are also several website throughout the web, where you can get loan insurance.

Do you have to pay the bank back for a vehicle if it gets wrecked and the bank pays it off?

Yes, unless the amount of the loan was covered by the insurance.

If your car that you took a bank loan out for was in an accident and written off and your insurance company sends you a check for the car's value do you then have to pay off the bank loan in full?

Yes, you are still responsible for whatever amount remains unpaid on your loan.

When can you remove the mortgage insurance from your loan?

1. when the bank allows or 2. when you pay off the mortgage.

What is easier to pay car loan or bank loan?

bank loan

Learners permit insurance loan?

Do not know what you mean by 'insurance loan'?

If the bank puts their own insurance on the vehicle due to no coverage and you get in an accident what is covered?

This coverage is called Lenders Single Interest Insurance, and it insures the LENDER against loss. If you crash the car and damage another person's property, the insurance will pay the bank the amount of the loan and cover any damages that may be assessed against the bank if they are sued. Then the insurance company will attempt to collect all of these amounts from YOU. And of course you are responsible for the damage if you are sued. In other words, THE DRIVER/OWNER has NO PROTECTION from this insurance, even though the premium was added into his bank loan.

What home loan tips does Standard Bank provide?

Standard Bank provides home loan tips relating to property insurance, body corporates with healthy financial positions and preventing illegal evictions. You can get more tips online at the Standard Bank website.

How do you get your car title from Bank of America?

The only way to get your car title back from the Bank of America is to pay of the loan that the title is collateral for. If the loan is paid off, they will send you the title in the mail.

What happens when you pay off an auto loan?

the bank cant come and steal it. but the insurance company can if you dont pay that

What is loan boarding?

when a loan is been transfered fron bank to another. . .the bank which the loan is transfered to board the loan. .

What is the difference between a bank loan and a bank credit?

What is the difference between bank loan and bank credit?

How do you record a bank loan in accounting?

Debit cash / bankCredit loan from bank

Where can I find out more about auto loan financing?

You could find out more about auto loan financing by consulting your bank or speaking with a representative of your insurance company.

Where can I find a good loan insurance calculator?

The best way to get a realistic figure for a home loan would be to talk to a bank or credit union. A less accurate method would be a online loan insurance calculator. You can find one here

How to pass journal entry if company take t he loan from bank?

debit cash . bankcredit loan from bank

How does one purchase debt insurance?

You can purchase a debt insurance policy if you're worried that an unanticipated circumstance may prevent you from making your monthly loan payments. You can purchase debt insurance from a bank.

Is bank loan an asset?

A bank loan is an asset for the bank as bank receives interest and principle payments from borrower.