Is That Annuity Ad Real?

Why the Ad Sounds So Good

Annuity ads show the ideal case. The biggest monthly number. The brightest promise. That is how ads work. Your job is to read past the bright number.

Ads also leave things out. They rarely show the surrender period. They rarely show the fees. They never show the fine print. What an ad hides tells you more than what it shows.

The people in the ads look happy. The music is warm. The voice is calm. All of that is on purpose. Feelings sell. Facts protect.

Five Questions to Ask

1. Is that number per month or per year? Ads show the version that sounds biggest. Check the small print.
2. When do the checks start? Some ads show income that starts years from now. That is not the same as income today.
3. Is the number promised or just shown as an example? Promised means the contract must pay it. An example means it might. Big difference.
4. What do you give up to get it? How long is the money locked up? What are the fees? The price is always in the fine print.
5. Who paid for this ad? It is a sales ad. Treat it like one.

Run every ad through these five. It takes two minutes. It can save you years of regret.

The Fine Print That Matters Most

Find these three lines before you believe any number. One: the surrender period. Two: the fees. Three: what happens to your money if you die before the checks start.

Here is a common trick. An ad says "monthly income for life." The fine print says the income starts at a late age. Or the ad uses "zero-fee" language, but the surrender schedule runs many years. The headline is true. It is just not the whole truth.

Ask for the ad in writing. Then match each claim to a line in the contract. If a claim has no line, it is just talk.

When to Walk Away

Walk away if the agent will not show you the full contract. Walk away if the numbers change each time you ask. Walk away if you feel rushed.

Good products survive slow decisions. Only bad deals need speed.

Sleep on every big choice. A deal that is good today is good next week too. Pressure is a warning sign, not a selling point.