5 Year Fixxed Annuity

[billyb]

Who has the best guaranteed rate on a 5 year surrender fixed annuity? My mother is 83 and has about $100,000 in an annuity that renews in January. I sell mostly life so I don't keep up with rates.

 

[myinsurebiz]

Who has the best guaranteed rate on a 5 year surrender fixed annuity? My mother is 83 and has about $100,000 in an annuity that renews in January. I sell mostly life so I don't keep up with rates.

Sentinel has 2.5% to 3% on 5 year MYGA . . . Compounds too! State specific. Certain fees may apply . . .

 

[scagnt83]

Both Standard and Equitrust are at 2.6% right now on their 5 year Fixed. No fees on Standard, same for Equitrust I think.

 

[yankee466]

Atlantic Coast Life claims 3.1% with selectable options on their 5 year last time I looked

 

[goillini52]

Atlantic Coast Life claims 3.1% with selectable options on their 5 year last time I looked

With an extra 1% the 1st year.

 

[yankee466]

With an extra 1% the 1st year.

true...it averages to 3.1% over the 5 year period with their compounding option. You can also elect a higher simple interest option if you plan to take out the earnings every year, but it still works out to the same 3.1% over the 5 year period.

 

[goillini52]

true...it averages to 3.1% over the 5 year period with their compounding option. You can also elect a higher simple interest option if you plan to take out the earnings every year, but it still works out to the same 3.1% over the 5 year period.

That's not what I'm seeing. I see 4.1% year 1 and 3.1% years 2+.

 

[yankee466]

That's not what I'm seeing. I see 4.1% year 1 and 3.1% years 2+.

I think you are looking at "Safe Harbor"...which is a simple interest product, not compound. When you average the 4.1 and 3.1 using simple interest over the 5 years, it equates to 3.1% compound....according to their brochure.

The Safe Haven product is 3.9 and 2.9% compound.....which also averages to 3.1%

 

[goillini52]

I think you are looking at "Safe Harbor"...which is a simple interest product, not compound. When you average the 4.1 and 3.1 using simple interest over the 5 years, it equates to 3.1% compound....according to their brochure.

The Safe Haven product is 3.9 and 2.9% compound.....which also averages to 3.1%

You're right...Safe Harbor.

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They're not in my state yet, so I haven't really studied it. Thanks for pointing that out about not compounding. Not near as attractive.