Guaranteed Interest Rate Years Equals Surrender Charge Period
A Multi Year Guarantee Annuity as show above has an Interest Rate Guarantee Period of 5 Years, the guaranteed
interest rate for each year is 5.00%, and is guaranteed not to change for the length of the contract.
The Withdrawal Provision is a feature that almost all MYGA's have. This provision allows you
to withdraw a percentage of your account value or your initial premium each policy year. For example if
this MYGA had a 10% Free Withdrawal Provision at the end of each year you could withdraw up to
10% of the previous years account value. For example: any money withdrawn in the third in excess of the 10% Free Withdrawal Provision
would be subject to a 3.00% penalty.
Withdrawal of any funds prior to age of 59 1/2 are subject to an IRS Penalty of 10%
of the funds withdrawn. This is in addition to any penalties incurred as part of
the annuity contract.