Friday, November 5, 2010

Selling Your Endowment? Make Sure To Weigh The Pros And Cons

Selling your endowment policy is undoubtedly a big decision. Surrendering your endowment policy is serious business. It makes sense to consult an independent financial advisor. He will help you compare offers and make a well informed decision. He will make sure you get the most for your policy. Rest assured that you will achieve the best possible price. The fee would be well worth your time and energy. When it comes to endowments selling, it is imperative to check your policy. Ensure that there is some value in selling endowment. In other words, you need to consider the advantages and pitfalls when you decide to sell your endowment. For the uninitiated, an endowment policy is a life insurance contract. It involves paying a lump sum after a specific term or on earlier death. Usually maturities are ten, fifteen or twenty years up to a particular age limit. A few policies also pay out in the event of critical illness. Policies are unit-linked or with-profits.

Endowments selling can be overwhelming. If you are looking to sell your endowment, you ought to familiarise yourself with the pros and cons of doing the same. You need to strategically weigh the pros and cons of selling endowments. An endowment policy can be surrendered or cashed in early. The holder is entitled to receive the surrender value. The insurance company determines this value depending on how long the policy has been running and how much has been paid into it. Early redemption can lead to a substantial loss but if you need money, it may be your only resort. When it comes to buying endowment, different companies have different requirements. Mostly the policy needs to be with-profits or a with-profits whole life policy that has been running for a minimum number of years.

Selling an endowment is no joke. It is unwise to suddenly stop making payments. It is foolish to cancel the policy without researching thoroughly. Make sure to seek competent financial advice and help. Remember that if you stop payments on a policy, it could lead to a major loss. You might end up losing any life assurance cover that it offered you. Endowment policies are good investment instruments. You might have to sell your endowment policy for various reasons. It is human tendency to invest money when money is available in surplus. Likewise, it is natural to withdraw the same when you are running out of cash. If you encounter a situation which compels you to sell your endowment policy, make sure to look at the best possible deals involving such transactions.

Selling endowments involves various complexities as far as final calculations pertaining to 'amount receivable' are concerned. Extensive research is important in such a scenario. Selling off your long held endowment policy is one of the biggest decisions of your life. You definitely can't afford to take chances with it. Compare offers, research thoroughly, plan meticulously. An endowment policy is a wise financial investment. It gives you benefits in terms of tax saving. It safeguards you against unforeseen or unexpected problems in the future. For more useful resource relating to endowment selling free to visit Endowment Selling Center kingsley okotie is an online writer of various topics, and his followers has been enhance with his findings today he shares some insight into endowment selling. for more useful resource relating to endowment selling free to visit Endowment Selling Center


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