Can I borrow against my life insurance policy?

Yes, if your permanent life insurance policy has accumulated cash value, you can take out a policy loan at a low interest rate without a credit check or approval process. The loan does not have to be repaid on any schedule, but unpaid interest accrues and is added to the loan balance. If the total loan balance exceeds the cash value, the policy can lapse. Any outstanding loan balance is deducted from the death benefit paid to your beneficiaries when you die.