Annuity for Small Contributions?

[ajhno]

I am new to the business and have recently hooked up with an FMO that represents some of the larger annuity products. I have a potential client who wants to save for retirement but doesn't have much income and I have been told by a few other advisors that I trust that the best approach would be some form of indexed annuity. Problem is, the guy doesn't have any kind of money saved up and I'm wondering if there are annuities that will waive the minimum opening deposit if you use ACH debit or somesuch (like some mutual funds do). My FMO says they don't have anything but I know I have seen annuities they don't offer with lower minimums. Is there anything you can start with minimal cash?

 

[Josh]

I'd have to double check on the exact number, but I believe Presidential will go as low as $120/year or $10/month. They might want $100 down, but I can't imagine anyone going lower than that. Even if a carrier would go lower than that, I can't see why a customer should be going lower than $10/month, even if he's working at a car wash making $8/hr.

 

[ajhno]

Thanks; I will see about what they have and getting appointed. However, I am not series 6. I thought Pru only offered VAs?

 

[Norwayguy]

Great American/Annuity Investors offer many flexible premium annuities both fixed,indexed and variable that will do ach for $50 per month will no initial deposit...Lafayette life will also do flexible premium products at $84/month...I believe LSW will do $50/month as well.

 

[Josh]

Thanks; I will see about what they have and getting appointed. However, I am not series 6. I thought Pru only offered VAs?

It's not pru, it's Presidential. E-mail me your contact info and I can get you the contracts.
- - - - - - - - - - - - - - - - - -
Update:

Presidential is $120/year or $25/month. I do have street contracts available.

 

[0b1kanobee]

Great American/Annuity Investors offer many flexible premium annuities both fixed,indexed and variable that will do ach for $50 per month will no initial deposit...Lafayette life will also do flexible premium products at $84/month...I believe LSW will do $50/month as well.

I am pretty sure LSW just raised it to $100 bucks per month minimum unless you are part of the school system.

 

[Norwayguy]

I am pretty sure LSW just raised it to $100 bucks per month minimum unless you are part of the school system.

You could be right....Things are always changing....I thought American General was nuts to raise the minimum to $300 per month...I'm more than willing to start with someone that has a small budget and work with them as their income grows...

 

[IncomeQuote]

Standard life and Accident has onefor $50 per month EFT
TheStandard $100 per month EFT
American General $50 per month EFT

 

[VolAgent]

Just how many old threads are you going to revive?

 

[0b1kanobee]

Standard life and Accident has onefor $50 per month EFT
TheStandard $100 per month EFT
American General $50 per month EFT

What is the compensation on those? Any idea?