Is there anything wrong with this plan?

[diediex]

the benefit illustration for the aia plan it already assumes you take the cash back. That's why the guaranteed amount is ridiculously low.

Wow that is really ridiculous. At Yr 20, if the person surrender, he will still get back less than the premium paid to date by $2000 even with the non-guaranteed 4.75% !

At maturity, the worst case scenario is that the person loses almost half of whatever he has put in !

 

[anfielder]

Wow that is really ridiculous. At Yr 20, if the person surrender, he will still get back less than the premium paid to date by $2000 even with the non-guaranteed 4.75% !

At maturity, the worst case scenario is that the person loses almost half of whatever he has put in !

You will break even and make some gains if you don't withdraw the cashback. Usually the returns are in the region of 2.x %

 

[mosmos]

You will break even and make some gains if you don't withdraw the cashback. Usually the returns are in the region of 2.x %

2.x % seems like opting for SGS would be a better choice

 

[Shion]

You will break even and make some gains if you don't withdraw the cashback. Usually the returns are in the region of 2.x %

But if we take into consideration of inflation rate for the next 25 years ?

 

[anfielder]

But if we take into consideration of inflation rate for the next 25 years ?

True. Returns from endowments look unlikely to beat inflation.

 

[mike80]

Hi, I just signed up for this plan also and now regret. But I am still in the 14 day free look period. The sad part is I was offered an ipad and open it a few days after signing the plan. Do I return them cash or purchase a new ipad? Appreciate any assistance on this matter.

 

[crimsontactics]

Hi, I just signed up for this plan also and now regret. But I am still in the 14 day free look period. The sad part is I was offered an ipad and open it a few days after signing the plan. Do I return them cash or purchase a new ipad? Appreciate any assistance on this matter.

Call them.

Most likely return cash.

Sent from OPPO F1s using GAGT

 

[mike80]

Ok, thanks for replying.

 

[XenonKirito]

Well I stumbled upon a "roadshow" while shopping at Tampines Giant and I came across...

4.75% guaranteed compounding interest over 25 years
Freedom to take out up to 60% of the invested amount (can only do this once per year, for a one year "block")
Minimum $100 per month, no maximum
$100k death coverage/total disability coverage for every $100 per month invested

What do you guys think about this plan?

-------------------

Update:

I actually cancelled the plan ASAP and got it refunded in full thanks to the generous advice from everyone here.

Agent was legit lying through his teeth and intentionally giving wrong information, nothing to do with my interpretation.

He would not share the benefits illustration and kept insisting it would only be given after signing the agreement/contract. Once I received the real document I immediately spotted 4.75% projected.

Good riddance to this and probably all worthless insurance plans.

How do you cancel it? Which form do i print out to immediately cancel it?
They never gave me my policy number yet so I don't know what to do at the moment.

 

[JuniorLion]

How do you cancel it? Which form do i print out to immediately cancel it?
They never gave me my policy number yet so I don't know what to do at the moment.

Go to AIA customer service centre.

 

[XenonKirito]

Go to AIA customer service centre.

Alright. But do i need to print out this https://www.aia.com.sg/content/dam/sg/en/docs/form-library/Surrender-Traditional-Policy-06-2015.pdf
and then go to them? that's what I want to know now.