Is cash value ever added to death benefit?

If a person has a policy with a face value of $100 and, the policy has a cash value of $25..........then what would be the death benefit? $125 or simply $100 ?

Any helpful comment is highly appreciated.

dividends are usually paid right away when its earned,
but if the case was as so, if the dividend was earned but not paid, the death benefit will be 100 + any earned dividends (3) - 10 loan amount - any interest accured to the loan.

why are you asking these question, are you just doing a case study or having a problem with a policy.

I am just doing a case study for my class project. You have been really helpful. Thanks.

ok goodluck

mansion,
Do you work for some of the firms in wall street? I am thinking of a summer internship down there but I need some guidance and recommendations.
I can go through career services but it would be useful to have someone from Nepal out there. What I have to my credit:

-2 semester econometrics
-corporate finance, mathematics of finance
-economics- money and banking, macro, micro and others
- math classes including statistics

On a side note, how far do you recommend to use OPT for summer internships? Is it worth it? What are the future implications?

One more question.

If a person has gross income of $1000, education loan payment of $200, assuming a 35% back-end ratio, what is the maximum total house payment he can afford?

Bibas100, can you help me too?

all the data above are monthly basis

bibas...Yes i work in a securities , insurance and investment industry. but the company i work for is not traded in NYSE, but is one of the biggest company in US, its a fortune 100 company.

As far as your internship, it doenst finance helps but that doenst mater, as long as you are intersested in the industry then you can succeed.

dont use your OPT for summer intern, the way USCIS works is, if you use your OPT for summer intern, then those days are subtracted from your OPT days, meaning, lets say you work 2 months using your OPT in summer intern, then your OPT which is valid for a yr is lessen to 10 months.


Rascal..your question is very vague...but to calcute it mathmatically and answer you, suppose he can atleast put 20% down payment, interest rate 6-7, the most he can afford is for 38000 , monthly payment of 300.

like i said your question is very vague, and not practicle for someone making 1000k to buy a house.

i meant, 20 k not 20%

Tyai ta bhanyaa......... it is a vague question.

Ok. Lets put it this way,
gross income = 5,000 (per month)
education loan payment = 250 (per month)
back-end ratio = 35%

So, maximum total house payment the person can accept
= (5,000 x .35) - 250 = 1500 ho?

The thing that is bugging me is ......... while calculating back-end ratio, all the loans/credits are already considered...........so, when we calculate maximum total house payment from the back-end ratio, should we deduct the loan (education loan payment in this case) again as I did above?

From a lenders perpective it depends on 3 things primaraily

1. Front end ratio - which is %tage of your gross income dedicated to pay your mortgage=principle+interested+tax+insurance...a general rule of thumb is 28%, in your case = 16800 a yrs = 1400 month. but nowdays some lenders even go upto 40% coz they wanna lend you money, they care about themself not about your financial goals.


2. Back-end ratio - debt to income ratio, general rule of thumb is , shouldnt exceed 36%so in your case, 21600 a yr, 1800 a month - 200 for your student loan = 1600 a month

3. a down payement of atleast 20% reduces, which has a direct impact on your mortgage and so forth in your FE and BE ratio.

so with 0 down...its 233500 k

and lets say he has 40k to put as a DP. Then its 274000.

both are excluding insurance , taxes. add 100-200 a/month +-

mansion,

fortune 100 company in "securities, insurance and investment industry" not traded in NYSE. actually NONE.

Industry: Securities [ all of these are TRADED IN NYSE]
Rank Company 100 rank Revenues ($ millions)
1 Morgan Stanley 30 52,498.0
2 Merrill Lynch 34 47,783.0
3 Goldman Sachs Group 41 43,391.0
4 Lehman Brothers 62 32,420.0

Most likely (O: you mean one of those listed below (O: . they might be insurance and investment but definitely not "SECURITIES" (O:


Industry: Insurance: Life, Health (mutual)
Rank Company 100 rank Revenues ($ millions)
1 New York Life Insurance 74 28,051.0
2 TIAA-CREF 81 25,916.8
3 Mass. Mutual Life Ins. 92 22,798.8

Industry: Insurance: P & C (mutual)
Rank Company 100 rank Revenues ($ millions)
1 State Farm Insurance Cos 22 59,223.9

Industry: Insurance: P & C (stock)
Rank Company 100 rank Revenues ($ millions)
NYSE1 American Intl. Group 9 108,905.0
2 Berkshire Hathaway 13 81,663.0
3 Allstate 58 35,383.0
4 Hartford Financial Services 78 27,083.0
NYSE5 St. Paul Travelers Cos. 85 24,365.0
6 Nationwide 98 21,832.0

have you ever heard of, NYLIFE Securities inc, owned by NYL. thank you.

and just to clarify, what is your point, i said ....Yes i work in a securities , insurance and investment industry. but the company i work for is not traded in NYSE, but is one of the biggest company in US, its a fortune 100 company.

Do you see the word INDUSTRY there, did i say anywhere, that i work for a securities compnay thats a fortune 100.

And by the way NYL deals with insurance, investment, annuities, mutual funds, and isnt traded in NYSE.

But thx for correcting me, i just dont knwo where you were trying to correct me though.

and one more thing, i am just here to answer questions that i have knowledge off to my best ability, am just tyring to help, so pardon me if i make few mistakes , will you. thanks.

Is there any death benefit after Maoists killed 15000 Nepalese in Nepal?

ya for the maoist there is, they gain popularity i guess. but good question. may their soul rest in pleace.

mansion,
common.. do not take it serious will you (O:

i know u r good person .. so u sud not take it personally. if i hurt u anytime I apologize.

have a nice weekend and keep posting good tips.

no need for apologies, may be i took it lil personally, my bad, sorry. have a nice weekend, didn't mean to sound offended.

and thx for your courteous e:mail.appreciate it.

thanks a lot mansion for the helpful informations.

Mansion Ji, YOU ROCK!!!!