Single Premium Annuities

by Walter
(perkiomenville,pa,USA)

I remember when my father exchanged his old prude paid up policy with dividends for a single premium annuity. He transferred the $5400 from that policy to a single premium annuity back in 1994.When he died in 2005 the value was about $22,200.

I thought he had made a great choice in doing this transaction. I would think immediate annuities would have a distinctive advantage over the low CD rates when relying on Bank CD interest rates for people on fixed income.