AVIVA myeasysaver plan

[pony852]

Hello,

I juz bought this plan recently, paying about $150 a month. I am a total noob since i just entered work force not long ago. I would like to know if i made the correct decision buying this plan. Has been bugging me and nobody i can turn into.

 

[limster]

Hello,

I juz bought this plan recently, paying about $150 a month. I am a total noob since i just entered work force not long ago. I would like to know if i made the correct decision buying this plan. Has been bugging me and nobody i can turn into.

monthly plans are worse than yearly plans because there are likely additional admin charges for monthly payments.

have you asked how long it will take for the policy to breakeven based on 4% return to the participating fund? Breakeven means Surrender value=premiums paid. If after 10 years it breaks even, then its ok. If after 10 years it won't breakeven, why bother?

I'm sure that there are some that will automatically say no good. My view is you need to know how long to breakeven at 4% return.

disclaimer: vested in Aviva

 

[Maeda_Toshiie]

Hello,

I juz bought this plan recently, paying about $150 a month. I am a total noob since i just entered work force not long ago. I would like to know if i made the correct decision buying this plan. Has been bugging me and nobody i can turn into.

Pay $150 per month for how many years?

What is the guaranteed amount you get in total back? (and by when)?

What is the non-guaranteed amount you get in total back?



These are absolutely crucial questions for any insurance plan.

 

[Maeda_Toshiie]

https://www.aviva.com.sg/pdf/MyEasySaver_Brochure.pdf

Taking example one:

The client pays a total of 188.75 * 12 * 12 = $27180 over 12 years.

The annual cash benefit is $750 for 10 years: 750 * 10 = $7500

The guaranteed amount received at the end is $16500.

Hence, you are guaranteed to received $16500 + $7500 = 24000 which is less than the amount you put in!

You might get an additional $4714, in which case you are unlikely to see it.

It is a f*cking bad product. I'd take my chances with the Straits Times Index.

The sum assured is only $15000 !!! (ie your heirs get only that amount if you die)

Holy cow, even if you get the full bonus, you get $28714 in total. 28714/27180 = 1.056. <6% returns after 12 years. And that is certainly not guaranteed.

As a insurance plan, it sucks (payout is low). As a savings plan, it sucks (you can lose money).

Your agent will give you a black face if you cut (since he/she will lose getting continued commission from your payments), but it's up to whether you care more about the agent or you care more about your own money.


*Seriously, these kind of cash paybacks are a bad gimmick! Any financially savvy customer will know that reinvesting any returns is better than paying out! You lose the compounding effect there.

*Pro-tip: never sign for ANY product that an insurance agent pushes to you. Those that do get pushed to you are usually those that you should not be signing (because it makes money for the company!). What you need is at best a H&S (if you feel that Medishield life is insufficient), and term insurance if you have dependents.

 

[pony852]

Pay $150 per month for how many years?

What is the guaranteed amount you get in total back? (and by when)?

What is the non-guaranteed amount you get in total back?



These are absolutely crucial questions for any insurance plan.

I pay 150 per month for 25 years. Guaranteed about 33k and non guaranteed about 30k. U all say until like that make me scared sia. What happens if i cancel? All the money i pay gone? Need to pay anything else?

 

[maruikun]

Not sure how recent did you bought your plan but insurance companies have the 14-day free look period. The day you received your policy documentation+14 days. You are entitled to cancel your policy within that period if you change your decision.

 

[havetheveryfun]

I pay 150 per month for 25 years. Guaranteed about 33k and non guaranteed about 30k. U all say until like that make me scared sia. What happens if i cancel? All the money i pay gone? Need to pay anything else?

of cos u should be scared. and u asked this question because u were scared

most of the time u will get back nothing if u cancel within the first 2 years of the plan.. all ur money u pay will be gone

 

[pony852]

siao liao.......... so i got 2 weeks (from the day i received my policy book?) to look at it before making decision whether to cancel or not without losing any money i paid? do i call the company to cancel or tell my agent can already?

seriously doubting myself after signing this myeasysaver thing coz not sure whether isit worth my money and time

actually i looking for something where i can set aside some money monthly for savings then at the same time earn some interest whether low or high interest doesnt matter. but of coz, this sum of money in this account wont be touched at all. anybody know if there is something like this to offer?

 

[walkofwinners]

Alamak another kumgong

 

[pony852]

i know i kumgong thats why i come and ask right zzz.... not too late for me now

 

[walkofwinners]

I pay 150 per month for 25 years. Guaranteed about 33k and non guaranteed about 30k. U all say until like that make me scared sia. What happens if i cancel? All the money i pay gone? Need to pay anything else?

25 years down the road with inflation, what's this guaranteed 33k even worth.

Probably it can pay off your children's uni fees for the first or second year.

If you wanna save money with Low/no risk, check out some bank offerings. Like OCBC 360 or similar. But the interest rate only applies up to $50k. Otherwise contribute to your Cpf and You get tax relief and decent interest rate too.

 

[Maeda_Toshiie]

Let me put it this way. CIMB's Fastsaver* account gives 1% interest for the first $50,000 with a minimum of $1000 to earn any interest. 0.6% for the remainder above $50000. I'm pretty sure this is likely to give you MORE in the long run (and it's pretty liquid since it is a savings account). The only requirement is that you must have the discipline to put in money every month, and not take money out. I suggest use a spreadsheet to track your expenses and savings, if you haven't already.

It is a no frills account, so you get no ATM card and no pass book with everything done online (a small fee over the counter service).



*There are no requirements for the 1%. Just a min of $1000 deposited. OCBC 360, UOB One, and BOC Supersaver have certain requirements (eg. min salary crediting, bill payment, credit card spending, etc) to get 1% or more interest. Remember to read the requirements carefully.

Some people may not trust a Malaysian bank. On the other hand, the SG government run SDIC guarantees up to $50000 worth of deposits per person per bank (NOT bank account!). So short of the SG government collapsing, you don't have to worry about the first $50,000.

No, I don't work for CIMB, nor any of my friends or relatives.

 

[limster]

I pay 150 per month for 25 years. Guaranteed about 33k and non guaranteed about 30k. U all say until like that make me scared sia. What happens if i cancel? All the money i pay gone? Need to pay anything else?

Premiums paid 150*12*25=45000

Guaranteed = 33000

On the face of it looks bad but to be fair still need to know breakeven at 4%. If early breakeven still can keep rather than lose all premiums paid

 

[akwl88]

Were you "pursuaded" to buy at the roadshow by xmm?

 

[lee_tired_sheep]

Hope TS at least got a lay out of the purchase

Sent from LGE LG-H818 using GAGT

 

[dendii]

I don't think there are any saving plans that offers a 10 year breakeven in the market.. (I may be wrong)

monthly plans are worse than yearly plans because there are likely additional admin charges for monthly payments.

have you asked how long it will take for the policy to breakeven based on 4% return to the participating fund? Breakeven means Surrender value=premiums paid. If after 10 years it breaks even, then its ok. If after 10 years it won't breakeven, why bother?

I'm sure that there are some that will automatically say no good. My view is you need to know how long to breakeven at 4% return.

disclaimer: vested in Aviva

 

[FP_IFA]

The plan isn't good in my opinion. The guaranteed value is terrible and the best projected isn't even anywhere near 3% pa. Distribution cost is also amazing high. I think this plan was built for that PT's team that moved over from Prudential.

Why get a saving plan that guaranteed you return that is less than what you put in? And remember in case of crisis, only the guaranteed portion of your endowment is guaranteed by SDIC's Policy Owner Protection Scheme.

 

[bibu00]

Don't go back to your agent. Jitao go to Aviva to cancel the plan, NOW!

 

[dendii]

Not a good plan to start with if you do not have any other insurance coverages at the moment.

This commitment on your part will most likely eat into your liquidity to get more important and beneficial plans. Eg: Hospital, Death, TPD, CI, Accident coverage.

Hello,

I juz bought this plan recently, paying about $150 a month. I am a total noob since i just entered work force not long ago. I would like to know if i made the correct decision buying this plan. Has been bugging me and nobody i can turn into.

 

[badsector]

most likely to cancel an insurance policy, u will need to do so in writing and mail it to them.