Beat the bank…lock in 3.15% interest

Today’s date is 6-13-16. Rates are subject to change at any time.

Interest rates are still pathetic. Bank cds are still really low and even fixed annuities have been pretty low for a while.

So when I saw this offer come across my desk I had to let you know.

Fidelity and Guaranty Life Insurance. Des Moines IA. Is offering a FIXED rate of 3.15% fixed for 5 years, for a limited time.

The offer began June 6th, 2016 and I don’t know when it ends. If you get in, you lock in the rate for 5 years.

Here are some bullet points.

  • It’s a fixed 3.15% guaranteed for 5 years.
  • No front end sales charges or annual maintenance fees
  • Interest grows tax deferred
  • You can withdraw the accrued interest if you want to
  • Fidelity and Guaranty has been around since 1959

Call me at 847-376-8400 if you have any questions.

Here’s a link to the Product Brochure.

The application is ONLY online, and I will help you with it.

 Frequently Asked Questions

  • What are the fees? – There are no upfront sales charges or ongoing maintenance fees.
  • Can I use IRA-401k money? Yes.
  • How long has Fidelity and Guaranty been in business? Since 1959
  • Does the interest compound? Yes
  • Is it safe? Yes. Fixed annuities are contractually guaranteed by the issuing insurance company.
  • Is it FDIC insured? No. FDIC insurance is only for bank deposits.  Fixed annuities are guaranteed by the issuing insurance company.
  • What if the insurance company goes out of business? The Illinois Guaranty Association protection is  up to $250,000 per account.  http://insurance.illinois.gov/General/guarantyfunds_facts.asp
  • What happens to the money if I die? Your beneficiaries will receive the full account value.
  • Can I get at my money? Yes. You can withdraw the accrued interest each year without any penalties.
  • What are the surrender charges if I break the contract early?  The surrender charge only apply to excess withdrawals. They start at 9% and decline to 0% after the 5th year.  The schedule is 9%, 8%, 7%, 6% , 5%, 0%
  • What happens after 5 years? You have a 30 window to do whatever you want with the money without any penalties. You can move it or let it roll into another 5 year contract.
  • How do I apply? It’s only an online application and I will help you with it.
  • How do I get money into the annuity? You can write a check or transfer an existing account.  You can also transfer old annuities and there are no taxes if you do a 1035 exchange.

Call 847-376-8400 with questions.

 

*This initial interest rate is effective for new annuities with a minimum premium deposit of $20,000 issued on or after June 6, 2016 for the first 5 contract years only. Thereafter, the company may declare at its sole discretion a new rate which could be lower. This initial rate is also subject to change for new contracts at our sole discretion at ANY TIME. Surrender charges and market value adjustments apply to withdrawals in excess of the accrued interest during the “guarantee periods” which are 5 years. There is a 30 day window at the end of each 5 year guarantee period where all or part of the annuity value may be withdrawn without application of surrender charges or market value adjustment. A new guarantee period and surrender charge period will begin after the end of the previous ones. The surrender charge is 9% in the first year and declines by 1% each year for the next four years and repeats for each successive period. Annuities are long-term savings vehicles that are subject to limitations and conditions, state availability and certain suitability requirements. Please see the applicable product brochure for details.
Annuity contracts issued by Fidelity & Guaranty Life Insurance Company, Des Moines, IA. www.fglife.com No bank guarantee. Not FDIC/NCUA/NCUSIF insured. May lose value if surrendered early. Subject to state availability.
Product form numbers: FGL SPDA-MY-F (7-04) ICC14-1095 (06-14); et al. 16-399

 

 

 

 

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