When Can You Borrow Against Life Insurance? 
Assuming you have cash values and the surrender charge provisions allow policy loans during the surrender period , access to cash values are fairly straight forward . Whats not straight forward nor is there any real industry standard in the charges for borrowing your money from your policy . The following current company practice of policy loan charges may be in your contract : -LRB- These are basic explanations . Each policy uses different language to express its provisions -RRB- Zero net cost loans the charging and crediting of the same rate 31 days apart Wash loans the charging and crediting of the same rate 365 day apart Spread loans the charging and crediting of a different rate 365 days apart Direct recognition loans - the charging and crediting of a different rate 365 days apart as well as lower of the dividend credited to borrowed cash values . Participating loans - the charging and crediting of a different rate 365 days apart where the policy earnings are greater than the policy loans . 