The Annuity Shop is aimed at providing simple advice & information on annuities & how you should prepare yourself before making that ultimate decision.
With pensioners feeling the pressure under the cloud of recent economic uncertainty, we provide guidance on how best to understand 'what is annuity'.
There are many factors not running favourably for retirees at present with the lowest annuity & gilt rates ever. So how are these disadvantages turned into positives, thereby managing or overcoming the serious financial issues in today's financial environment? We delve into the reasons for such decisions, the best annuity rates currently available & which annuities are to be avoided.
Firstly, at The Annuity Shop we see the most common mistake is that people take the first offer that comes along. Don't! The initial temptation will come from the pension provider with whom you have saved up with over the years. On standard annuity rates most people, just by shopping around & doing their own research can save over 10% on their new found income.
Once retirement is attained, your pension provider will automatically send out your pension options & projections. Now is your time to begin your research & finding out who can offer more by exercising your 'open-merket option'. This right is made available to everyone who has a pension, but is sometimes little known.
Secondly, the next mistake commonly made is to select the incorrect annuity & potentially leave partners or dependents out on a limb financially.
With so many annuity options & variables on offer the decision to be made can never be 100% accurate as none of us have the benefit of hindsight & that old crystal ball.