Although the use of credit cards is very common in the community, it turns out that knowledge about the ins and outs of this card is not fully understood by customers. One of them is about the conditions during an emergency, for example, a cardholder’s customer dies. What about the card bill that still hasn’t been paid? Is it automatically considered paid off or is the responsibility of the heir?
As regulated in Article 833 paragraph (1) of the Civil Code (Civil Code) that the heirs of the deceased client get ownership rights to all goods, all rights and all receivables of the deceased person. This means that if the heirs are willing to accept the right of inheritance to eat legally must also be willing to be responsible for the liability of the deceased heir (customer) including the obligation to pay off credit card bills.
Credit card bills are optional insurance facilities
Credit card bills are insurance facilities that are optional, can be taken or not by the customer. This insurance protection is usually offered when applying for a credit card or when starting to pay bills. If you take insurance, then when there is a risk of death the bill will be covered by the insurance, and vice versa.
If you have not joined this insurance program, then it is better to contact the bank if you want to get protection. Premiums paid monthly are paid together with monthly bills or installments.
The amount of the premium is usually around 1% of the value of the monthly credit card bills (often below 1%), for example, at bank A the premium for insurance protection is 0.50% of the monthly bill, or at bank B at 0.60%. Not too expensive actually, rather than later burdening the heir when a risk of customer death.
Different insurance, different benefits
Each bank has its own partnership with each insurance company to offer their credit card protection products. Customers should study each of the benefits of the bank and insurance collaboration product and adapt it to their needs.
For example, bank A offers an attractive product in the form of a 30% bonus from the bill if during participating in the insurance program, the customer has never made a claim for at least 3 years specifically for a monthly premium value of USD 50,000.
Different again with bank B customers who can get attractive offers in the form of credit card debt protection that protects customers from critical illness, meaning that if the customer experiences a critical illness risk that falls into that protection category, the insurance airline will pay all customer credit card bills.
Credit card insurance products usually include at least protection from the risk of death, permanent disability, and temporary disability.
If Done Right, the Process for Handling Credit Card Bills is Not Complicated
As long as it follows the process correctly and the complete file, the credit card issuing bank will also process it quickly. They also understand the calamity experienced by these customers.
The key is to equip your credit card with the required insurance. You can buy through a card issuing bank (practical, one-stop service) or can also go directly to insurance companies (usual premiums are cheaper).