An annuity is a type of retirement plan that involves paying into a fund over a period of time and then receiving disbursements from that fund during your future retirement. It’s designed to help people have a regular income during retirement.

Annuities: What are the General Options?

metlife-annuities-reviews-logoThere are different types of annuities. Some people choose to start an annuity with a lump sum, and other people choose to make payments and build up their funds over time. You can also decide whether you want your annuity to begin paying out immediately or at some point in the distant future. If you plan to get the money back later, you’re dealing with a deferred annuity. Annuities that begin channeling money back to you right away are called immediate annuities.

Another option is the amount of time you’ll be receiving disbursements. Some annuities involve a specific term, and others simply pay out until the time of your death.

You can choose between a fixed, indexed and variable annuity. Fixed annuities pay out a set amount for each payment. Indexed annuities offer a guaranteed minimum payout plus a changing amount that’s based on the performance of a market index. Then you have variable annuities. These are annuities that are based on a personal account of mutual funds. You make investments, and the way these investments perform will ultimately determine how much money you end up getting back during your retirement.

All About the Metlife Annuity Program

metlife-annuities-reviews-4Data from LIMRA, an annuity research institute, shows that Metlife ranks in the top six for variable annuity sales. The company offers a variety of annuity options, including an immediate variable annuity. Since the performance of the investments are not guaranteed, this annuity involves some risk. It typically begins to pay out within 12 months. If you’re an investor, and you would like the opportunity to grow your retirement income to achieve a better lifestyle, this might be something you would like to choose.

Metlife also has a fixed annuity option. This is a better option if you’re seeking guaranteed payments rather than a risky investment.

Our analysis of the Metlife annuity shows that it’s ideal for producing a reliable retirement income as long as the fixed option is selected. It’s also good for situations in which you need to ensure a fixed payment for the remainder of your life or your spouse’s life. You won’t have to worry about outliving your retirement funds.

The Negatives of Metlife Annuity

metlife-annuities-reviews-2This annuity option isn’t ideal for those seeking long-term growth or those who need liquidity. The Metlife annuity program involves fees to gain liquidity, and sometimes those fees can be hefty.

Unfortunately, there are also a lot of negative reviews about Metlife annuities online. Some of the complaints we gathered include:

  • Continuing to take payments after the policy was cancelled by the customer.
  • Claiming that the customer didn’t pay into their annuity when they actually did.
  • Incorrectly explaining the annuity policy to customers and providing false truths about how things actually work.
  • Quoting one price then charging another.
  • Refusing to acknowledge any wrongdoing or apologize.

We have no way of verifying whether or not these incidents actually occurred. However, there are enough negative reviews of Metlife to give anyone considering their annuities pause. If you’re considering this company to help you fund your retirement, you’ll need to take a long look at your long-term goals and see if the annuity plans are capable of helping you meet them.

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