Honoring Their Memory

Emily is torn about doing something with the whole life insurance policies that her grandparents left her.

QUESTION: Emily just found out about 2 whole life insurance polices that her grandparents took out when she was born. They were just passed on to her and she wanted to switch them to term life insurance. There is $7,000 in loans against them done by Emily’s mom. Is it dishonoring her grandparents’ memory to keep these policies?

ANSWER: Get the right amount of term life insurance in place and then cash out this policy. You are not wasting this policy by cashing it out. Your grandparents have been honored by how you used this; they just got ripped off in the first place. We don’t honor them by continuing the family stupidity.