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We have answers to the most popular questions from our customers. If you can't find an answer to your question, please contact us.
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Like a CD, a fixed annuity pays a guaranteed interest rate for a specific period, such as three to 10 years. Fixed annuities and CDs are similar because youre guaranteed to receive your principal investment back after a specific time plus a certain amount of interest.
There are two primary ways of cashing out your annuity contracts: surrender or sell. If you cancel an annuity contract early, youll likely encounter a fee called a surrender charge. How much you pay depends on your initial agreement with the insurance company and when you entered into that agreement.
If you do not receive an email reply from us within 48 hours, or you require a quicker reply, please do not hesitate to call us at (800) 800-7646.
When should you start taking money out of your annuity? To avoid an early withdrawal penalty tax from the IRS, wait until you turn 59 . After you turn 73, the IRS requires you to take a required minimum distribution each year.
If you dont want to pay a surrender fee, look into whether you can take out money on an annual basis (subject to a certain limit.) Some annuities will allow you to withdraw a set percentage from the contract each year without the surrender charge coming into play, since youre not cashing it out completely.
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The fees often include: Surrender charges - If you cancel or cash out the policy early you must pay a surrender charge. This charge is typically highest in the early years of the annuity and may be reduced or eliminated over time. Surrender charges commonly range from 5 to 25% of the amount withdrawn.
You can withdraw cash from most fixed, variable and indexed annuities at any time but be prepared to pay surrender charges, taxes and penalties. If you have a fixed annuity, you can take out a loan using the cash value of your annuity as collateral. This is typically not an option for other types of annuities.

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