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Old 22-01-2018, 10:26 PM   #31
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this has me interested, where can I find this info on the total guaranteed at the end? Is this a projection based on a worst case scenario for the par funds?

Of course they'll paint a very rosy picture of smoothing to show a lower but guaranteed bonus but I want to see some exact figures, and all they showed me was business times articles on how prudential is often in the top percentile of performers.
Ask the agent for a benefit illustration.

It has effects of deductions , so u can see all the commission's .

It also shows the death benefit and surrender values every year.

Just focus on the guaranteed portion .
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Old 22-01-2018, 11:50 PM   #32
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don't quite understand this, can explain?
you mean that the amount paid for is more, but the amount you get back is less?
A dollar today is worth more than a dollar tomorrow due to inflation. The same dollar would have an even smaller value 20 yrs down the road.

Would u rather pay a higher amount today or a higher amount tomorrow?

And in addition, if u do your own investments, by paying less today also means u could potentially grow more for tomorrow.
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Old 22-01-2018, 11:53 PM   #33
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Ask the agent for a benefit illustration.

It has effects of deductions , so u can see all the commission's .

It also shows the death benefit and surrender values every year.

Just focus on the guaranteed portion .
That cost doesn't 100% goes to agents. Employees of the insurer work for free?
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Old 23-01-2018, 01:20 PM   #34
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That cost doesn't 100% goes to agents. Employees of the insurer work for free?
Ok la..also to the company of the insurer , basically all the fees u pay
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Old 30-01-2018, 11:34 AM   #35
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I got the BI for the prulifetime income plan. Can I have some opinions assessing it? I'll go first, please note I have no financial background so I may have missed something; would appreciate advice.

The total premium is around $94k, to be paid over 4 years ($2000 a month). (no idea how they came up with this sum but the 2k a month is to qualify for 1.88% cashback if paying by credit card.)

death benefit/Surrender value


To me, the death benefit seems average, you get back around 105% of what you paid should you die and it goes to your family. But the surrender value doesn't look enticing, even if you somehow live till 99, based only on the nonguaranteed returns, you won't get back the principal sum.

Yearly cash benefit illustration


Based on the yearly payout illustration, if we go by guaranteed sum alone, it really doesn't look good at aroundd $1350 yearly. I guess the appeal of these to buyers must be from the nonguaranteed amount, which looks sizeable)?

The bank agent keeps calling me to hurry up and fund the plan, but I'm not convinced at this point. Although with the cashback from paying for this by credit card works out to amost $10k off the sum required.
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Old 30-01-2018, 11:51 AM   #36
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I got the BI for the prulifetime income plan. Can I have some opinions assessing it? I'll go first, please note I have no financial background so I may have missed something; would appreciate advice.

The total premium is around $94k, to be paid over 4 years ($2000 a month). (no idea how they came up with this sum but the 2k a month is to qualify for 1.88% cashback if paying by credit card.)

death benefit/Surrender value


To me, the death benefit seems average, you get back around 105% of what you paid should you die and it goes to your family. But the surrender value doesn't look enticing, even if you somehow live till 99, based only on the nonguaranteed returns, you won't get back the principal sum.

Yearly cash benefit illustration


Based on the yearly payout illustration, if we go by guaranteed sum alone, it really doesn't look good at aroundd $1350 yearly. I guess the appeal of these to buyers must be from the nonguaranteed amount, which looks sizeable)?

The bank agent keeps calling me to hurry up and fund the plan, but I'm not convinced at this point. Although with the cashback from paying for this by credit card works out to amost $10k off the sum required.
what a rubbish plan judging from your excel sheet
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Old 30-01-2018, 11:52 AM   #37
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I got the BI for the prulifetime income plan. Can I have some opinions assessing it? I'll go first, please note I have no financial background so I may have missed something; would appreciate advice.

The total premium is around $94k, to be paid over 4 years ($2000 a month). (no idea how they came up with this sum but the 2k a month is to qualify for 1.88% cashback if paying by credit card.)

death benefit/Surrender value


To me, the death benefit seems average, you get back around 105% of what you paid should you die and it goes to your family. But the surrender value doesn't look enticing, even if you somehow live till 99, based only on the nonguaranteed returns, you won't get back the principal sum.

Yearly cash benefit illustration


Based on the yearly payout illustration, if we go by guaranteed sum alone, it really doesn't look good at aroundd $1350 yearly. I guess the appeal of these to buyers must be from the nonguaranteed amount, which looks sizeable)?
This plan need 25-30 years before it can even breakeven.

For that amount of time frame to breakeven, if you are looking at endowments, there are a handful that can do way better than that.

The bank agent keeps calling me to hurry up and fund the plan, but I'm not convinced at this point. Although with the cashback from paying for this by credit card works out to amost $10k off the sum required.
If the stuff is good, he don't have to worry about rushing you to fund it, because sooner or later you will go back to fund it yourself.
Don't be tempted by freebies or vouchers enticement.
Understand what you really want to achieve in different time horizon before making any purchase.

http://www.straitstimes.com/business...ce-from-a-bank
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Old 30-01-2018, 01:27 PM   #38
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thank you, not sure if my interpretation is correct, but to me it looks like

1. going by guaranteed returns (annual cash benefit of $1350) only, you will never break even even at 99 years old

2. Assuming you live till 77, at that point you are guaranteed to only get back $41850 of annual cash benefits. The time frame to see good returns is longer than a typical human lifespan.

3. If you are lucky you'll also get the nonguaranteed component, which at 77 years old can be up to an accumulated $27k assuming you get this every year it's supposed to be given. Or nothing, if you're unlucky.

4. Overall, the plan looks good only if you die, or live beyond 99. If you don't die early, you'll only break even and recover around the principal $94k beyond 99 years of age. Which still means you're likely to be dead.

Are these correct?
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Old 30-01-2018, 04:57 PM   #39
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also, I just received the proposal with the BI but there's no cover letter with a date . Just the proposal and BI, my customer investment profile, and some guide to life insurance. Do I use the date on the envelope (26 Jan 2018) to calculate the free-look period? Or do I use the date on which I signed the initial proposal form in the bank (20 Jan 2018) as the start point?
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Old 30-01-2018, 08:19 PM   #40
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or is my understanding totally wrong?

also can anyone advice when the 14 day free look period starts? Am I supposed to get a cover letter with a date?
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Old 30-01-2018, 08:46 PM   #41
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also, I just received the proposal with the BI but there's no cover letter with a date . Just the proposal and BI, my customer investment profile, and some guide to life insurance. Do I use the date on the envelope (26 Jan 2018) to calculate the free-look period? Or do I use the date on which I signed the initial proposal form in the bank (20 Jan 2018) as the start point?
14 days free-look starts from the day you receive your policy booklet (or flashdrive in the case of Pru).

What you've received thus far are only meant for your records and reference. The policy most probably hasn't even incepted.
Alternatively, just head down to Pru's office tomorrow to write your free-look letter on the spot.
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Last edited by Bigoya; 30-01-2018 at 08:48 PM..
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Old 02-02-2018, 06:58 AM   #42
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Basically with this plan you can never surrender early. Must hold till you die to get guaranteed return marginally better than FD, and if lucky, non guaranteed return that you can easily get from BBB corporate bond or holding those stocks with steady dividend for long term. You can get much better deal from the balance of liquidity and yield perspectives just doing Singapore Savings Bond with that kind of money.
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Old 02-02-2018, 07:01 AM   #43
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That cost doesn't 100% goes to agents. Employees of the insurer work for free?
Correct. Not 100%, but close to it.
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Old 14-02-2018, 08:35 PM   #44
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got a question

i was at standard chartered on 20 jan and i signed for the form stating that i was interesedted in the prulifetime income plan. so it was dated 20 jan.

then around 27 jan I got in the mail the benefits illustration and decided not to go ahead with it since it didn't look good with the detailed figures. but this is not the policy document right? It's just the BI and product key facts.

Then now I just got this mail saying deduction of $2000 from my credit card for this plan was not successful because my card is not funded. Lucky i didn't put anything in.

They said the premium due date was 20 jan (the date i signed saying i was interested, but that is not supposed to be the inception date right?)

then also the date my card was charged was 30 jan.

Is this correct? I don't even have any policy document, so why am I being charged?
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Old 14-02-2018, 08:50 PM   #45
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got a question

i was at standard chartered on 20 jan and i signed for the form stating that i was interesedted in the prulifetime income plan. so it was dated 20 jan.

then around 27 jan I got in the mail the benefits illustration and decided not to go ahead with it since it didn't look good with the detailed figures. but this is not the policy document right? It's just the BI and product key facts.

Then now I just got this mail saying deduction of $2000 from my credit card for this plan was not successful because my card is not funded. Lucky i didn't put anything in.

They said the premium due date was 20 jan (the date i signed saying i was interested, but that is not supposed to be the inception date right?)

then also the date my card was charged was 30 jan.

Is this correct? I don't even have any policy document, so why am I being charged?
The agent tricked you?
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