Is It Possible to Roll a CD Into an Annuity and What Should Someone Consider First
This financial advice video explains why people should reconsider their Certificate of Deposit (CD) investments, particularly those funded by tax refunds. The speaker highlights the limitations of CDs, including lack of probate protection, no creditor protection, and annual tax obligations that reduce returns. They present annuities as a superior alternative solution, positioning October as an optimal time to evaluate and reposition CD investments for better financial outcomes.
Video Transcript
So I want to give you an example. April's tax time. Many people take their refunds. They don't know what to do with it, so they put it into a six month CD at a bank. So in October, it's a big opportunity to take a look at what you currently have. Now CDs, you don't have the ability to avoid probate, avoid creditor protection. It has none of that. You pay tax on it every year. So you are lessening your returns. There's a great opportunity to evaluate that money and what the need is for it and reposition and upgrade those dollars into a different solution. And many times that solution will be an annuity.
