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Instructions and Help about fixed annuity withdrawal authorization
Here's ago and everyone my name is dark IASI I'm the owner of a foster Financial Group and today's topic I want to discuss with you annuity with Charles for beginners and what are the different ways on how somebody could take out annuity payments in the form of with Charles and some mistakes to avoid throughout the entire process now the earlier stages of annuities would be something known as annuities action and essentially what would happen is annuity contracts were supposed to be been supposed to counteract life insurance so as somebody would place money into a life insurance policy that would be placing smaller premium dollars and what it would do is give this person coverage in case they died too soon meaning if they passed away before retirement, or they passed away before a debt was paid off whatever the case maybe they could therefore they want to leave an inheritance or a legacy to their loved ones whenever that person passes away a lump sum is then get paid out then gets paid out to their beneficiaries, so annuity payments are the complete opposite of that what it does is an individual would give a lump sum amount to an insurance company understand that insurance companies the only type of carriers that could offer an annuity contract just like a bank CD the only banks could offer you know CD type contracts, so it has to play within that their levels within there were lanes of an annuity contract could only be off with the insurance company a bank product obviously could only be offered through a bank so with these annuities when an annuity does is someone's giving a lump sum dollar amount to an insurance company that insurance company is making a calculation based upon our old that person is, and they're saying okay based upon our computation based upon your age based upon what our current rates are we're going to provide you lifetime income for either yourself or you and your spouse for as long as you live so if somebody's younger well then they're going to have a smaller amount of payments on a monthly basis or on an annual basis than somebody that's older reason being is the insurance company could give a higher offer to the older person because they understand that person's closer to death, so they might only be receiving you know twelve years worth of payments based upon those mortality tables based upon the statistics set up through the insurance company for somebody that's you know 65 years old as opposed to you know somebody that's 60 years old my beginning a thousand dollars less a year two thousand dollars less a year from that dollar amount that they're placing with that company so the problem that lies there is something known as a newt station because from one aspect the person is having the individual is going to trigger off and purchase that annuity contract because they're going to receive lifetime income from the company right the downside is whenever that person passes away depending upon how they set up that...
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