Life insurance policy?

Question

My grandparents got me a life insurance policy when I was born and now that I'm 23 it is given to me to either continue to pay a monthly on it or to get money from it now. There is a new face amount on the paper that I got and I'm wondering if that is the amount that I would get now or would I just get a percentage of that now and how much would it build up if I decided to continue paying the monthly on it for another few years?

I'm still waiting to hear back from them!

Answer 1

The face amount is the death benefit the insurance company will have to answer the other questions you should continue to pay on the policy  you will be glad you did you probably have a very low payment and in the future you might be not qualify for life insurance or it will cost too much

Answer 2

The face amount is the death benefit.  The amount that would pay out to your beneficiary in the event of your death.  The number you're asking about would be considered the Cash Surrender Value (may be a slightly different term depending on the company).  Or you could probably just look for the Cash Value.  That's the amount of money that is saved up in the policy.  If you choose to cancel it, you'll get your cash value minus any possibly termination fees.  The company should be able to provide you with a reproposal or illustration to show you how the cash will build up.  

I would highly recommend keeping the policy.  If you need money, ask about taking out a loan on the cash value.  Often times you'll be charged about 8% interest on the loan, but they'll continue to pay you 6% or so on the money, so it's really only a net interest rate of around 2%.  That might be your best solution if you really need the money.