LETTERS TO THE EDITOR

Dominion, Volume 10, Issue 3161, 13 August 1917, Page 6

LETTERS TO THE EDITO R

THE MORATORIUM AND LOANS ON ° LIFE POLICIES I Sir,—When Parliament in its wisdom jpassed tho Mortgages Extension Act it (. seems to have overlooked the case of the v mail who iiwls it necessary to borrow on 0 his life policy. I liavo had to borrow on mine, and have received a notice from the society that tho interest is now raised to 6 per cent. In answer to my protest, tlioy state that they are advised that loans on life policies are not within tho scope of the Mortgages Extension Act, on the ground that a life policy is nei- s tiier land nor chattel. The society, j ; there, insists on raising tho rate' of i. interest. v It is surprising to find that these loans g nre not protected by the above Act, as v there are very strong reasons for their { inclusion in it, and the omission is prob- c ably inadvertent. It is to bo hoped that ; the Legislature will remedy tho matter j this session, otherwise a large number j of policyholders who have had to borrow , on their policies (and many of whom , have enlisted) will bo unfairly penalised. ( I refrain from criticising the policy of , an institution which takes advantage of , a flaw like this at such a time.—l am, i CtC " .POLICYHOLDER. j