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Subject:  Re: annuiites couple married 81 years old Date:  7/26/2021  9:30 AM
Author:  Hawkwin Number:  103783 of 104828

7% right now

That 7% is a reflection of mostly your principle being paid back to you with anywhere from 1% to maybe 2.5% in interest.

It is a reverse mortgage. When you buy a house, the bank loans you $400,000 and you make principle and interest payments. With an annuity, you loan the insurance company $400,000 and they pay you principle and interest - and just like a mortgage, the lower the rates, the less interest (and more principle) is required.
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