Pacific Life Pacific Frontiers II 5 Annuity Review
The Pacific Life Frontiers II 5 Annuity is a fixed deferred annuity that provides compounded, tax-deferred growth. Your annuity will grow at a fixed interest rate that is determined at contract issue. Pacific Life also offers a 10 year rate guarantee, a 9 year rate guarantee, an 8 year rate guarantee, a 7 year rate guarantee, and a 6 year rate guarantee.
Frontiers II Annuity Highlights:
- This annuity offers penalty-free interest withdrawals.
- There are no fees, loads, or sales charges.
- Your contract has no stock market exposure.
- Click to read the Frontiers II company brochure.
Frequently Asked Questions About the Frontiers II Annuity:
Q: Does the interest compound? A: Yes.
Q: Is the interest taxed? A: The interest you leave in the account grows tax-deferred until you withdraw it. That interest is not taxed within the annuity. This is an advantage over interest you earn on a bank CD which is taxed each year even if you leave it in the CD.
Q: Are there any fees? A: No. There are no upfront sales charges or ongoing maintenance fees.
Q: Is it FDIC insured? A: No. FDIC insurance is only for bank deposits. Fixed annuities are guaranteed by the issuing insurance company.
Q: What are the early surrender charges? A: The early surrender charges only apply to withdrawals which are greater than the penalty-free amount. If surrender charges apply, they start at 7% and decline to 0% after the 5th year. The surrender charge schedule by year is 7%, 6%, 5%, 4%, 3%, 0%.
Q: What penalty-free withdrawals are available? A: Starting 30 days after contract issue, you may withdraw amounts up to the interest credited over the previous 12 months.
Q: If I withdraw more than the penalty-free amount, will a Market Value Adjustment (MVA) be applied? A: Yes. You can read more about market value adjustments here.
Q: What happens after the initial 5 year rate guarantee period? A: You have a 30 day window to do decide what you would like to do with your accumulation value. You can remove all of it or let your cash balance roll over into a new 5 year guarantee period.
Q: What happens to the money in my account if I die? A: Your beneficiaries will receive the full accumulation value.
Q: How do I apply? A: Start by calling 800-872-6684 or fill in the "Get My Free Quote" form in the upper right section of this page.
Q: What is the minimum premium I need to pay? A: $10,000
Q: Are there any age restrictions? A: Yes. You can purchase this annuity up to age 85. In some states the age requirements may differ.
Q: In which states is the Frontiers II annuity available? A: The Frontiers II annuity is not available in all states. Call 800-872-6684 to find out if it's available in your state.
To review the Frontiers II annuity with an agent or to receive a free personalized illustration call 800-872-6684 or fill in the "Get My Free Quote" form in the upper right section of this page.
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