Why You Should Worry When Your Parents Mention the Word Annuity

just me....

9 months ago

What a ridiculously one-sided article. Annuities are absolutely appropriate for some seniors, and absolutely not for others. Your article shows extreme bias.

No consumer should ever have to sue a company to protect or to recover rights that have been stolen fraudulently, adding insult to injury. The purpose of having government and enforcement is to protect those rights, not to run interference for the would be thieves, or to enable them to rip off consumers by using state inaction when it should be present as a part of its oversight of companies registered under it. who operate only by consent of the state.

RoseJK

about 1 year ago

My grandmother had been sold an annuity some 5 years ago by her trusted bank. She told us after the fact that she had did so, investing nearly 80% of her money into it. It just matured and she had intended to cash it out and put it into a CD or her savings and the investment banker convinced her that since she didn't have expenses, she should put it back in. This was 2 weeks ago. She didn't even remember that she had done so. Now she has just been diagnosed with dementia and will likely need the funds and can only draw out 10% by next year. I am angry that this has happened to her. Our family is trying to sort out things and plan for her care in the near future. I want to get this bank reported for doing this type of thing to her.

Saying that Annuities are in all cases bad for seniors is absolutely wrong. the above article, pitching class action attorneys at the end, sounds highly suspect to me. We all know that someone nets about $6 from any class action case! The big winners are the attorneys! Back to the annuities -- if you thing that 3-8% is a HUGE commission, you know little about the insurance field. there are other products, such as wrap accounts that pay upwards of 18% for the first year and additional commissions thereafter! Are annuities right for someone with lower incomes, probably not. But to classify that they are wrong for ALL seniors fails to consider their individual position and goals. And while they do, often, carry a guaranteed death benefit, they are NOT the same as life insurance. Absolutely, take your time, and know the product you buy, that is the buyers responsibility, after all you are signing a contract. KNOW what you are signing, but for heavens sake, don't lump all seniors' and their needs into one category.

HandiAnn

over 2 years ago

I unfortunately helped my parents sign up for a fixed annuity when we went in to buy some CDs at our local bank. I didn't understand what we were buying and couldn't reach my brother, who might have known more. I STILL feel guilty about it. I will NEVER forgive the bank for talking us into that. We were able to get our money out after six years, but the trust I had with the bank is gone forever. Annuities are INSURANCE policies, and pay a BIG commission to the salesperson. SHAME on the sellers for taking advantage of seniors. My big lesson is TAKE YOUR TIME to research something if you don't understand it. Don't give in to high pressure sales.