Life may have changed quite a bit since you first set up your annuity. If so, it’s a good time to look at your annuity a bit differently. Peachtree Financial Solutions can turn all or some of your future annuity payments into one lump sum, so that you can put your money to better use – whether it’s for a bigger home, a more reliable car, tuition, or to pay off debt. You don’t have to wait. See what your money can do with Peachtree on your side.
What Are Annuities?
An annuity is a fixed or variable sum of money paid in increments over a predetermined period of time. The general purpose of an annuity is to provide a steady stream of income for the recipient. Annuities are used in a wide array of applications, from retirement plans to legal settlements to survivor benefits and more. In addition, some inheritances can be set up as annuities, and some annuities themselves can be passed down to a beneficiary.
In many annuities, the recipient collects the same amount of money each year, although some annuity contracts can have variable payments based on factors like investment performance and inflation.
Types of Annuities
An annuity can be created for many different reasons, and Peachtree works with recipients of nearly every kind of annuity. The most common type is a Single Premium Annuity and it can be paid out in two different ways:
Single Premium Immediate Annuities
This type of annuity begins paying out within a year of being purchased. This type of annuity is purchased with the one-time investment of a lump sum, either from the purchaser’s personal savings, a retirement plan, or an inheritance.
Single Premium Deferred Annuities
This type of annuity is set to be paid out at a later date as determined by the purchaser. This type of annuity is purchased with the one-time investment of a lump sum, either from the purchaser’s personal savings, a retirement plan, or an inheritance. Though there may be a buy-back or surrender clause within your original agreement, the purchase value Peachtree offers for your annuity may be greater than the surrender value the insurance company will provide.
Although most retirement plans have transitioned to contribution plans like 401(k) and IRAs, annuities are still offered as part of government and other legacy pension options. It’s up to the retiree to determine how the payout will be made, and how any survivors will benefit from the annuity. Peachtree Financial Solutions cannot purchase payments from pensions or employee-sponsored retirement accounts.
Types of Payment Structures
There are literally thousands of different varieties of annuity products and contracts. However, most annuities fall into one of the following general categories of payment structure:
Periodic payment from a fixed annuity is the same for the duration of the term, and is usually funded by a stable rate of interest from the insurer.
Variable annuities are funded by investments that are more prone to fluctuation, such as stocks and bonds. As a result, the periodic payments can vary over time.
Guaranteed vs. Life Contingent
Guaranteed payments can go to your beneficiary in the event that you pass away before all your guaranteed payments are made. Life-contingent payments will only be made as long as you are living. We can purchase both types of payments.
Because it’s already your money, cashing in all or a portion of your annuity payment stream can be a relatively fast and simple process. Peachtree Financial Solutions has
years of experience working with most insurers and an understanding of the many types of annuities available to the market. This experience allows Peachtree to further
streamline the process of purchasing your annuity payments.
Steps & Timing
Step 1: We listen.
Tell us a bit about your annuity, and your financial needs. We’ll answer any questions you might have.
Step 2: We give you options.
We’ll go over your options, such as how many payments you’d like to sell, whether you’d like to continue to receive a portion of your periodic payments, and other variables.
Step 3: We provide a quote.
Your Peachtree representative gives a no-obligation quote (typically multiple option quotes) for you to consider.
Step 4: Paperwork
We will need a copy of your annuity and our signed contract, along with other documentation, depending upon your transfer request and the company that issued your annuity.
Step 5: Annuity company review.
We will provide the required documents to the insurance company that issued your annuity. The insurance company will then make the necessary changes to the policy so that we can complete the sale.
Step 6: You receive your money.
Peachtree will get you your purchase price by check, money transfer, or ACH – sometimes in as little as two weeks. Transaction times vary based on the insurance company and individual circumstances.
We’ve helped tens of thousands of people achieve their goals, and we have extensive experience in every U.S. state. That means our experience allows us to help you to meet your needs and your unique goals.
Our Dedicated Representatives
One of the reasons people love working with Peachtree is our team of experienced representatives. Once you begin the process of selling your annuity payments, we’ll
match you with a dedicated representative who’s well-versed in annuities, and you’ll work with this same representative throughout the entire process.
We know that behind every customer is a unique story; therefore the documents that can be required are different for each person. Some of the more common
documentation needed includes an annuity contract and a benefits letter.
Your dedicated Peachtree representative will work with a team of experienced underwriters to help determine what documentation is needed and how we can help gather the appropriate paperwork.
Values of Different Types of Annuities
Because there are so many kinds of annuities, and each will typically be further customized for each recipient, there’s no one answer to determine how much your
particular annuity payment stream is worth. For example, the size and frequency of your annuity payments, as well as the timing of these payments, can impact their value quite a bit.
The best way to determine the value of your unique annuity is to talk to a Peachtree representative, who can get you an accurate, no-obligation quote quickly.
At Peachtree Financial Solutions, we promise to always explain all your options clearly, so that you can make informed decisions every step of the way. If you’re considering selling annuity payments, you should ask yourself a few questions.
-Have my financial needs and goals changed, and are my annuity payments keeping up?
-Do I want to leave money to my heirs?
-Do I want more financial flexibility and control over my assets?
-Is an annuity still the best use of my money today?
You’ll have more questions, and we’re here to help with all of them. Call or contact us today!