Silver
Full time employment: Posting here.
My DS (sister) is 3 years older than I, and has had two annuities in two different companies for many years. One is a fixed at 2.9% and one is a variable with balanced funds and has done OK in the past few years. Both are non-qualified accounts.
I know this group dislikes annuities for many good reasons, but it is what it is so please hear me out and hopefully make some helpful suggestions.
My DS is nearing the age when she wants to start distributions from these annuities. They are worth about $350k combined and they comprise about 25% of her total investments, the rest being in IRA's.
Her plan was to move the fixed into the variable (knowing she cannot add funds to the fixed as per the contract) using a 1035 transfer. Then...when hopefully fixed annuities get better rates, move the combined amount into a fixed and start distributions.
The date that there was no penalty to move funds from the fixed was mid-February, so she contacted the company that has the variable annuity and started the 1035 transfer. She knew she had 30 days to make this happen, and was on top of it the entire time, and has emails to prove it. However, the transfer never happened. It just did not happen.
The receiving company said they mailed the 1035 and letter of acceptance 3 times, faxed them twice, and emailed it once. The company that has the fixed annuity that was to be transferred says they never got anything. Nothing. So they cannot move the money. She has many emails saying all of this.....and now both companies have ghosted her....not answering emails and customer service calls go totally unanswered at one company, and the other says they cannot help her. Transamerica has the variable and Sentinel Security has the fixed.
I have never heard of such a thing. She is now past the 30 days window to move the funds....so although she hasn't lost a cent, her plan is screwed.
Please no judgements.....I know this isn't a great plan but I love my sister and would like to help. Any ideas what to do from here?
I know this group dislikes annuities for many good reasons, but it is what it is so please hear me out and hopefully make some helpful suggestions.
My DS is nearing the age when she wants to start distributions from these annuities. They are worth about $350k combined and they comprise about 25% of her total investments, the rest being in IRA's.
Her plan was to move the fixed into the variable (knowing she cannot add funds to the fixed as per the contract) using a 1035 transfer. Then...when hopefully fixed annuities get better rates, move the combined amount into a fixed and start distributions.
The date that there was no penalty to move funds from the fixed was mid-February, so she contacted the company that has the variable annuity and started the 1035 transfer. She knew she had 30 days to make this happen, and was on top of it the entire time, and has emails to prove it. However, the transfer never happened. It just did not happen.
The receiving company said they mailed the 1035 and letter of acceptance 3 times, faxed them twice, and emailed it once. The company that has the fixed annuity that was to be transferred says they never got anything. Nothing. So they cannot move the money. She has many emails saying all of this.....and now both companies have ghosted her....not answering emails and customer service calls go totally unanswered at one company, and the other says they cannot help her. Transamerica has the variable and Sentinel Security has the fixed.
I have never heard of such a thing. She is now past the 30 days window to move the funds....so although she hasn't lost a cent, her plan is screwed.
Please no judgements.....I know this isn't a great plan but I love my sister and would like to help. Any ideas what to do from here?
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