The Ultimate Guide To AnnuitiesYour One-Stop Resource for Retirement
How do I know the company will honor my future payments?
This is a sensible question to have in mind while we consider the idea of buying an annuity. If the company that sells you an annuity goes down, it’s possible that you lose your money. Think about it this way: When you buy an annuity, you’re given your money today to receive start receiving payments in years and if you retire your money before you turn 59 ½ years or before a determined period, you will have to pay different charges.
Before buying an annuity, you need to check the history of the company to check if it has a good rating given by credit bureaus that will guarantee the company’s stability. There are different methods to evaluate an insurer’s credit rating, some of the most reliable companies dedicated to evaluate insurers are: A.M. Best, Standard & Poor’s and Moody’s.