Payment protection insurance

Also called: Restschuldversicherung

Some lenders offer insurance that pays the instalments in case of illness, disability, unemployment or death. Caritas debt advice explains that such insurance is in general optional, and that its cover is in general limited in time, in amount or by other conditions.

If a lender makes it a condition of the loan, its cost counts in the effective annual rate. If it is optional, its cost comes on top (KKG, Art. 34).

What it means for your loan

Swizeo does not offer payment protection insurance.

Explained in full

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More on this

Sources

  1. Ratgeber KonsumkrediteCaritas Regionalorganisationen, Schuldenberatung, read on
  2. Bundesgesetz über den Konsumkredit (KKG), SR 221.214.1, as in force on 1 September 2023, Art. 7, 13, 22, 27a, 28, 31 and 34Swiss Confederation, Fedlex, read on

All terms in the glossary

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