Bank-sold annuity targets low-deposit buyers.

National Underwriter Life & Health-Financial Services Edition, June, 1994 by Koco, Linda

Ford Life has begun marketing the bank-sold MoneyBuilder Annuity for low-deposit buyers. The initial investment need only be $100 and each subsequent investment also need only be $100. Ford Life's other bank-sold annuity, sold before the MoneyBuilder, required a $5,000 minimum initial investment. The MoneyBuilder allows monthly deposits and encourages younger, less wealthy investors to save for retirement through an annuity.

Until now, banks that sell deferred annuities have concentrated largely on selling to the lump-sum deposit crowd--especially people with low-yielding certificates of deposit who are insearch ofhigher yields, or people with estate settlements or rollovers from qualified plans.

But Ford Life believes that bank customers of more modest means...

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