EFT for On-Time Payments

March 28, 2019

Chances are good that your clients like individual annuities because they provide a consistent payment stream. Many people count on receiving funds on specific dates so they can pay bills and meet day-to-day living costs. If your clients aren’t already using Electronic Funds Transfer, talk to them about setting this up. EFT is the best way to ensure that they receive funds on time, every time.

EFT delivers funds to specific accounts on specific dates — with no delay. Paper checks are always an option, but they can get lost in the mail, stolen from mailboxes or delayed by bad weather.

To set up EFT, fill out the Request for EFT of Annuity Payout (Form 11426). Include a copy of a voided check for checking accounts or the account statement for EFT-friendly savings accounts. We accept originals or copies, and you can submit them by mail, fax or email.

EFT is available only for scheduled payouts, not for one-time distributions. Non-recurring distributions must be paid by check. They can be mailed to annuity contract owners, financial institutions or third parties.

If you have any questions about setting up EFT, please contact our Service Specialists at 800.247.6888 or send us a message.

 

More About Producer Advisories
Have clients in another state or looking to expand your book of business? We’re implementing a new cross-border sales policy. Check out the ins-and-outs and do’s-and-don’ts of the new policy and forms before you get down to business.
It’s time to send out the 2023 IRS Form 5498 for IRA Contributions. Be sure to notify your clients who should expect them and find out the dates we’re sending them out.
Many clients count on receiving their annuity payments on specific dates so they can pay bills and meet day-to-day living costs. Electronic Funds Transfer is the best way to ensure payments on time, every time.
Please review this recent compliance alert: New Hampshire INS 305, Suitability of Individual Annuity Sales Recommendations.
We’re always looking to improve the customer experience. Thanks to your feedback, we’re rolling out new options for annual interest payments. See how these new features work.
We mailed IRS Form 1099-R in February to clients who took a distribution last year. You can view and download 2023 and prior year tax forms on the Annuity Portal.
Required Minimum Distribution notifications were mailed out at the end of January. Here’s the rundown on who we sent them to and what to expect.