What’s Covered In This Review
In this annuity review, we will discuss the National Integrity Life SPDA Series II, 1 Year Guarantee fixed annuity:
- Product Type
- Fees
- Current Rates
- Realistic long term return expectations
- How it is used
- How it is most poorly used
Annuities can be complex. That’s where having an Annuity Investigator who loves math comes in.
We make the complex, simple.
If you’ve been giving a lot of thought to purchasing an annuity because you are worried about running out of income in retirement and about keeping your principal safe, then the National Integrity Life SPDA Series 2, 1 Year Guarantee fixed annuity could be a good option for you. This is because this annuity can help you with keeping your money safe, and it can also offer you a guaranteed income in the future.
But, prior to moving forward with buying this particular annuity – or for that matter, any annuity – it is always recommended that you get more information on the product so that you know exactly what you can and cannot expect from it.
Throughout the past several years, fixed annuities have become quite popular. One key reason for this is because these products can offer a guaranteed stream of income in retirement. And, if the lifetime income option is chosen, then you won’t have to worry about the income stream running out – regardless of how long you may live.
Yet, even though it can be nice and reassuring to have this type of a financial guarantee, you should always think of an annuity as a long term financial endeavor. With that in mind, you need to ensure that you know both the good and the bad before you commit a significant chunk of your savings to it.
In getting the entire picture, it can be somewhat of a challenge – particularly with finding out what the possible drawbacks may be, as you will typically need to wade through a plethora of fine print – which can be extremely confusing, even for well-educated consumers.
Annuity and Retirement Income Planning Information You Can Trust
If this is your very first visit to our website, we’d like to personally welcome you here to AnnuityGator.com and to thank you for your visit. Here, we make up a team of experienced financial pros who are acutely focused on providing our visitors with the more thorough and unbiased annuity reviews. We have been at this for many years now – much longer than our competition – and we have therefore become a highly trusted source of annuity information on the Internet.
Over the past few years, we have seen a number of various copycat websites appear online. Unfortunately, these websites will typically offer some bold claims – such as high-interest rates, low fees, and top-rated annuity companies. But this is often times just a way to lure visitors in so that they part with their contact information.
There may be any number of reasons why you are looking for additional information on annuities right now. For example, it could be that you are getting close to retirement, and you are therefore seeking a safe place to store your savings. It could also be that you are looking for a way to stretch out your retirement income payments.
Likewise, you may have recently attended an annuity seminar where – in return for a free dinner or lunch – you listened to the presenter explain how annuities work, and how they would work for you. The quest for additional details about how annuities work may ultimately be what has led you here to our website.
The good news is that if you are looking for all of the details on the National Integrity Life SPDA Series II, 1 Year Guaranteed Fixed Annuity, you are in the right place. Here you will discover information on not only the good, though but also the bad and the ugly. This, however, is what we believe is the best way to assist you in making a well-informed decision regarding this annuity and whether or not it may be right for you.
Just to be perfectly clear here, we truly believe that an annuity can – and often is – a very wise financial option. However, this is only the case if the annuity fits in well with your specific financial needs.
So, if you’re ready to begin this review, then let’s go ahead and dive in!
National Integrity Life SPDA Series 2, 1 Year Guarantee Fixed Annuity at a Glance
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 | Thereafter |
|---|---|---|---|---|---|---|---|---|
| Charge % | 10 | 9 | 8 | 7 | 6 | 5 | 4 | 0 |
Opening Thoughts on the National Integrity Life SPDA Series II, 1 Year Guarantee Annuity
National Integrity Life Insurance Company is a wholly owned subsidiary of Western and Southern Financial Group – a company that has nearly 130 years in the financial and insurance arena.
Western and Southern is considered to have an extremely strong financial foundation, given it is $22 billion assets under management. Because of its strength and stability, the company has received extremely high ratings from all four of the insurer rating agencies. The company also has a Comdex Rating of 96 out of 100.
Because of the continued volatility of the stock market over the past decade or so, the demand for fixed annuity products has grown considerably. One of the main reasons for this is because retirees are seeking a safe place to put their money, as well as an ongoing income in retirement.
Unfortunately, due to the historically low-interest rate environment over the past several years, the safety of principal can also some in conjunction with very low-interest rates – rates that are not likely to meet or beat future inflation, and in turn, future purchasing power.
Before we get into the in-depth details, we have some legal disclosures to present…
This is an independent annuity product review. It is not a recommendation to purchase or to sell an annuity. National Integrity Life has not endorsed this review in any way, nor do we receive any type of compensation for providing this review. This annuity review is meant solely to be an independent review at the request of our readers so that they may see our perspective when breaking down the positives and the negatives of this particular annuity. Prior to committing to the purchase of any type of insurance and/or investment vehicle, it is critical that you do your own due diligence, and that you also talk with a properly licensed professional if you have any questions that relate to your specific situation. All of the names, materials, and marks that have been used in compiling this annuity review are the property of their respective owners.
For more details on how to compare fixed annuities so that you can decide which may be the best one for you, in order to obtain our free annuity report.
How National Integrity Life Describes the SPDA Series II, 1 Year Guarantee Fixed Annuity
The SPDA Series II is a single premium deferred annuity – or SPDA – that can provide a simple way to pursue retirement goals free of stock market risk.
This annuity will guarantee 100 percent of principal, plus a fixed rate of return for one, three, five, or seven years. The annuity also offers tax deferred growth, along with a minimum rate guarantee, a guaranteed death benefit, flexible withdrawal privileges, and the absence of a Market Value Adjustment (MVA).
How a Financial Advisor Might “Pitch” This Annuity
Because of their ability to keep principal safe, one of the areas that a financial advisor may key in on is the fact that a large portion of your savings will be guaranteed not to lose value if placed in this annuity.
Plus, the fact that this annuity can provide you with an ongoing, guaranteed lifetime income stream – regardless of how long you may live – this, too, is likely in a financial advisor’s list of topics to discuss.
When taking a bit of a closer look, though, there are some exceptions that apply. For example, once the initial rate guarantee period has ended, the annuity will only provide a prevailing rate that may change from year to year. Also, the seven year guarantee period is not available in New York.
If you are being shown this annuity by an insurance or financial advisor who will make a commission on the sale, then it is probable that they will only really highlight the advantages of this annuity – without going into much (if any) detail about its potential drawbacks like its extremely low-interest rate. Otherwise, honestly, there is really not much that separates this annuity from many others that also fall into the fixed annuity category.
What About the Fees?
You may also find that there could be some fees charged with this annuity. This is especially true if you want or need to withdraw more than 10 percent of your annuity’s value within the first several years.
That is because the SPDA Series II annuity has seven full years of surrender charges that are as follows:
| Product Name | Pacific Frontiers ll, 1 Year Guarantee |
|---|---|
| Issuer | Pacific Life Insurance Company |
| Type of Product | Fixed Annuity |
| S&P Rating | AA- (Very Strong) |
| Phone Number | (800) 772-4448 |
| Website | www.pacificlife.com |
The Annuity Gator’s End Take on the National Integrity Life SPDA Series II, 1 Year Guarantee Fixed Annuity
Where it works best:
This particular annuity will usually work the best for those who are looking for:
- Safety of principal
- Guaranteed lifetime income in retirement
- Guaranteed rate protection – at least for a set amount of time after purchasing the annuity
Where it works the worst:
The National Integrity Life SPDA Series II, 1 Year Guarantee fixed annuity may not be an ideal fit if you:
- Want access to most or all of your funds within the first several years (due to the withdrawal penalty)
- Are seeking a high rate of return on your money
- Do not intend to use the lifetime income feature
In order to truly know how to compare the best annuity options for you, so that you can download our free annuity report.
In Summary
For those who have been considering the purchase of a fixed annuity, it is essential that you consider the entire picture – and not just the positive attributes. Otherwise, it could cost you in terms of future purchasing power, a withdrawal fee – or both.
If a fixed annuity like the SPDA Series II seems to fit your current and future financial needs, then you may find benefit in its safety, as well as in its guaranteed income provisions. Yet, even with these features, this particular product could still fall somewhat short – and there may still be an even better option out there for you, especially if one of your goals is to achieve a higher return.
Therefore, if you are still unsure as to whether or not the National Integrity Life SPDA Series II, 1 Year Guarantee Fixed Annuity is the best annuity for you, then please feel free to contact us for additional information via our secure contact form here.
Did This Review Prompt Any More Questions? Did You Happen to Notice Any Mistakes in this Review?
While we know that this annuity review was a tad bit lengthy, we believe that providing our website visitors with a bit “too much” information is far better than not giving enough. Therefore, if you felt that this annuity review was beneficial to you, then please feel free to forward it on to anyone else whom you feel may also benefit from it.
We also know that information on an annuity – and other financial products – can and does change on a regular basis. And there are some cases where we may not catch the need for an update. So, if you did happen to notice any mistakes or outdated information in this annuity review, please let us know that, too, and we will get on the revisions as soon as possible.
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The Annuity Gator
