MYGA Archives - Annuity 123 : Annuity 123

Fixed Annuities vs. Variable Annuities

Randy Floyd | March 25, 2015 | Annuity Basics, Fixed Annuities, Hybrid Annuities, Index Annuities, MYGA, Variable Annuities

For most people, the word “annuity” might as well be a four-letter word. When I talk about them in my practice, I find that there is a very negative connotation associated with them. Yet most people’s understanding of annuities is very limited at best. So, I wanted to take some time to explain what they are and go over some of the different kinds of annuities. I think most people will realize that they are not quite the monster they have been made out to...

View Article

Why Buy a CD-Like Annuity Instead of a Bank CD?

Carl Ostenson | November 11, 2013 | Carl Ostenson, Fixed Annuities, Member Posts, MYGA

The “Plain Jane” vanilla ice cream in the annuity world is called a Fixed Rate Annuity…also known as MYGA (Multi Year Guarantee Annuity). She’s really pretty boring….you agree to deposit money at an insurance company for a certain period of years, 2-10+ year contracts are all available. In return, the insurance company agrees to keep your money safe and pay you a fixed rate of interest for that term. At the end of the term, you can take your money and do something else with...

View Article

What Is The Difference Between A Traditional Fixed Annuity & A “MYGA”?

Stan The Annuity Man | October 24, 2013 | Annuity Basics, Annuity Definition, Ask Stan The Annuity Man, Fixed Annuities, Member Posts, MYGA

Question: I’ve been trying to do some research on fixed rate products, and want to know the difference between a Traditional Fixed Annuity and a MYGA annuity. What is the difference, if any? from Robert in Chicago, Illinois Answer: Good question Robert, and yes there are distinct differences between Traditional Fixed Annuities and MYGA (Multi Year Guarantee Annuities) annuities or sometimes called fixed rate annuities. Let take a closer look at both from an excerpt from my book, The Annuity Stanifesto. Traditional Fixed Annuity Traditional...

View Article

Is There An Annuity That Works Like A CD?

Stan The Annuity Man | October 17, 2013 | Annuity Basics, Ask Stan The Annuity Man, Fixed Annuities, Member Posts, MYGA

Question: Every agent I meet with tries to sell me a variable annuity or indexed annuity. All I really want is a fixed rate guarantee. Is there an annuity that actually works like a CD? from Bill in Matthews, North Carolina Answer: Yes Bill, there is an annuity structure that functions like a CD. That type of annuity in the industry is referred to as a MYGA. MYGA stands for Multi Year Guarantee Annuity, but it is also appropriately referred to as a Fixed Rate Annuity. ...

View Article

October is CD Renewal Month – You Have Options

John CasaSanta | October 2, 2013 | MYGA

Studies show that the two most popular months for CDs to renew is October and April. In April, many people have received an income tax refund or from completing their taxes a portfolio adjustment is made. October has proven to be a popular month for renewal because most banks offer a 6 month CD. In today’s economic environment, most banks are offering less than 1 percent interest on a 6 month CD. If you’re desiring a 2+ percent rate of return, you have to commit...

View Article

MYGAs: A Good Friend in an Unfriendly Interest Rate Environment

John CasaSanta | August 13, 2013 | Annuity Definition, Member Posts, MYGA

Written By: John M. Bellinger in Plymouth, MA With apologies (and thanks) to The Temptations and “My Girl”….here are the lyrics for “MYGA“: I’ve got peace of mind—every single day. When the markets fall, I know I still can play. I guess you’d say What can make me feel this way? MYGAs (mygas, mygas) Talkin’ ‘bout MYGAs. I don’t need no bailout, workin’ or shame. I’ve got all the security one man can claim. I guess you’d say What can make me feel this way?...

View Article