Tuesday, February 27, 2007
From an earlier blog post, here is the definition of a two tier annuity:
'Now, as far as two-tiered annuities, they have no defined end of term. This means that no matter how long you keep the money in, it has to stay in until you 1) stay in for a defined period and 2) take your money out over a defined period. It calls for two sets of action in order to free yourself of a surrender charge. It is sometimes not a great deal for the client.'
So awareness is the key to making great decisions. With that in mind, what you need to know is this. Two tier annuities have been and continue to get heat from consumers and attorney generals all over the country. Some states have gone as far as banning them from being sold in their states (one example is New Jersey). Some companies are notorious for having many two tiered annuities in their portfolios. They may seem like a good deal but you must be aware of ALL factors before getting involved. Two tier annuities are not horrible for everyone or every situation, but they can be detrimental if you don't know what you're getting into.
With that in mind, it is important to know your product and ask your salesperson very detailed questions. Don't get caught in a two tier annuity if you don't know everything about it.
Next time I will point out a list of specific two tier annuities that you will want to be careful of before you get involved. Until then...
Ignorance is NOT Bliss....
Thursday, February 22, 2007
I would like to give you some insight as to when they might be appropriate, the issues I have with them, and how sometimes they can be detrimental to your financial health. Please feel free to send your questions to support@AnnuityMD.com. Furthermore, if you have your own insight, stories, or thoughts about two-tiered annuities, feel free to send a comment to this blog.
So please be prepared to get into the good, the bad, and the ugly when it comes to these types of annuities. I will start with elementary information also and if you don't know what a two-tiered annuity is, feel free to visit the blog I did before on these tpes of annuities.
Ignorance is NOT Bliss
Tuesday, February 06, 2007
When dealing with innuities, it is important that you do careful research. While annunitys can be great vehicles sometimes annuitues are tricky! Annuinities have the tendency to be difficult to understand sometimes so if you want to purchase an annuitie, make sure you do your homework.
While doing your homework on annuties, please be sure that you purchase an anunity for the right reason. If you don't have time on your money, than annuitys may not be right for you. You are rewarded in an anuity by giving the insurance company time on your money. Anuities can give you a great rate of return but be prepared to let you money stay in the annunity for a while.
And last of all, make sure you get your innuity from a reputable person.
So choose your annunities with caution and do your proper research before buying annuties.
Hope you enjoyed that!!!
Here is the list:
Monday, February 05, 2007
There are statements behind the statements when it comes to annuities. For example, annuities in general (not all of them) allow a consumer to take out 10% a year. At first glance that sounds like a great proposition. Well, what they don't tell you, is most of the time you can only take ONE withdrawal per year. Yes, one withdrawal up to 10% but no more than 1 withdrawal. Therefore, if you take one withdrawal for 2% and try to get 8% more later that year, you can't do so without being penalized.
This is ONE example of many. There are so many more examples like that.
Many of us as consumers are guilty of buying things we don't know enough about. The same goes true for the things we invest in. Well, the problem with annuities are that they are long term commitments. Any annuity requires some type of time commitment. So to not know what you're getting into is suicide. Many people have horror stories about their annuities. I guarantee most of that is not necessarily because they bought a BAD annuity, but an annuity that was BAD for them.
Bottom line is, you gotta know what's hiding underneath that variable annuity, fixed annuity, or whatever annuity it is you have. If you don't, you will be hurting yourself for the future....believe it. I see it all the time. Take time to understand what it is you're getting into and it will pay off for the years to come.
Ignorance AIN'T Bliss...
Sunday, February 04, 2007
Friday, February 02, 2007
The bottom line is that you need to know your stuff before putting your hard earned money into anything....and annuities are no exception. Great information can be found but it is important to be able to distinguish what is good and what is bad. Bottom line...too good to be true is probably not true; horror stories probably have more behind them.
Great information on annuities can be found at http://www.AnnuityMD.com. Yes, that is a plug and yes that is my website. But the information is good. It's non-biased and not meant to be a sales tool for agents to sell annuities from. Check it out and see what you think. If you think it's expensive...try to see how much ignorance will cost you.
Ignorance AIN'T Bliss...