Buying an annuity online

12th October 2011

Increasingly we are seeing in society a shift for business to an online setup. The prominence of the world wide web has made it easier for consumers to make a purchase without the necessity of travelling to and from a shop. And it’s not just clothes and shoes that can be bought this way, but also many financial plans and investments including your annuity.

Purchasing annuities online is becoming more and more common as it saves many people the hassle of having to go into a store to discuss the options with an advisor. Many people choose to use the internet as a source of information to find out more about what annuity plans are available to them and then to purchase the plan of their choosing.

The internet is a simple and easy way to perform a transaction and requires relatively little paper work or the extensive filling out of forms. For people who like a quick and easy approach to their annuities then buying one online is becoming a very popular option.

What are important factors to consider?

When it comes to buying any kind of annuity it’s important to take into consideration your individual situation and the needs throughout the lifetime of your annuity. You will need to decide whether to take out an individual or joint annuity and take into account which provider can give you the best package depending on your current financial and health situation.

It’s important to take into account that your current health or that of your partner can play a large role in determining the amount of money that you receive and that in many situations if you do suffer from poor lifestyle choices you may be eligible for an enhanced annuity which will give you a greater pay out over a shorter period of time.

Do I have a choice of annuity providers?

Thanks to the introduction of the Open Market Option (OMO) you can now choose between any annuity provider to find the best option for you and your family. Even though you may have your pension with one company you are under no obligation to take out an annuity with the same company and this gives you the ability to pick and choose between companies to get a better package.

How can I select the best annuity for me?

Selecting the best annuity involves both time and research. Having a good understanding of how annuities work and how you can get the best package is a great start. It’s also important to shop around and look at different packages, keeping in mind that once you have selected an annuity it is generally a lifetime commitment.

I think we should be adding a paragraph here to stress the importance of seeking independent advice, in view of the fact that an annuity is a lifelong commitment?

Just because they’re buying online doesn’t mean they have to settle for anything less than expert, independent advice! And we offer this service online!

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