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Gainbridge Review: A Savings Account Alternative?

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Gain Bridge It is a self-managed platform that gives you online access to fee-free annuity products.

When most people think of investing, they think of stocks and Bonds or Mutual funds and exchange-traded funds (ETFs). Annuities are another type of product that can be added to your overall portfolio.

These are perhaps best known for providing a fixed income in retirement, but they can be used at any age.

We look at what Gainbridge offers, how it works and whether you should consider an annuity.

Gainbridge logo
  • Online Pension Platform
  • Buying MYGA and SPIA Annuities
  • SteadyPace Annuities Pay Up to 6.15% APY (As of June 22, 2024)
  • Cancel for free within 30 days

30-day risk-free trial period

What is Gainbridge?

Founded in 2019, Gain Bridge
is an annuity and life insurance agency that sells annuities online and is available in all states except New York.

Gainbridge is part of holding company Group1001 and offers annuities issued by Indianapolis, Indiana-based Guggenheim Life and Annuity Company.

Gainbridge Home Page

Gainbridge offers Multi-Year Guaranteed Annuities (MYGAs) and Single Payment Immediate Annuities (SPIAs). MYGAs earn guaranteed interest over a specific period of time, and because this interest is deferred, you don’t have to pay taxes on it right away.

A lump sum annuity is a lump sum product with fixed monthly payments that provide a guaranteed income in retirement, while a SPIA is an immediate annuity that pays out accrued interest.

Gainbridge offers four annuity products based on your personal needs and individual goals.

What do we offer?

Here we take a closer look at the different annuity options Gainbridge offers.

Steady Pace™

Gainbridge SteadyPace annuities are lump sum MYGAs, meaning you can invest a lump sum when you open the account, and you cannot add new funds thereafter.

SteadyPace earns guaranteed interest of up to 6.15% APY* over a period of time. MYGAs earn tax-deferred interest, so you don’t pay tax on the income accrued until you withdraw it. The interest accrued during the investment period is called the guaranteed interest period, which means the money you invest in the annuity is protected during this period.

Once the term is over, you can start a new annuity, withdraw funds from the account in a lump sum, or receive monthly payments over a 5- to 10-year term. During the first year of the annuity contract, you can withdraw from $100 up to 10% of your account balance without fees. (Withdrawals of more than 10% incur high withdrawal fees.)

Fastbreak™

FastBreak is an annuity from Gainbridge designed as an alternative to traditional savings products offered by banks. It offers a fixed interest rate of up to 6.15% APY*. You will continue to receive interest at your contracted rate, even if the Federal Reserve changes interest rates.

With FastBreak, you pay tax annually on the interest you earn. You receive the annuity growth tax-free. Like SteadyPace, you can take your annuity for a term between 3 and 10 years.

Each year, you can withdraw up to 10% of your account balance. In the first year, you can withdraw up to 10% of your initial deposit. For investors age 59 1/2 or older, there are no withdrawal penalties.

ParityFlex™

ParityFlex is a fixed MYGA designed to provide you with guaranteed income in retirement. Not only is your investment principal protected, but this annuity also provides guaranteed income for life (as long as you don’t over-withdraw from the account). This annuity also allows for flexible withdrawals.

One Up™

OneUp is an index-linked annuity that provides returns based on the S&P 500 Total Return Index. It reinvests dividends and offers a 1% bonus. The goal of this annuity is to provide exposure to market growth without exposing you to excessive risk.

*The APYs listed are accurate as of June 22, 2024 and are subject to change at any time.

How does Gainbridge work?

Gainbridge is a direct-to-consumer annuity company. Gainbridge is not a bank and is not FDIC insured. When you purchase an annuity through Gainbridge, you enter into a contract with an insurance company. Unlike some annuity providers, Gainbridge does not charge fees.

Interest-bearing annuities offer tax benefits and are an advantage for those looking to diversify their portfolios. That’s why GainBridge is a leading provider of traditional annuities and… Savings accounts and traditional online brokers, offering market exposure and high APYs on your savings without exposing you to excessive risk.

The interest income isn’t taxed until you withdraw the money from your Gainbridge account.For individuals who have maxed out their 401(k) and IRA contributions, annuities are an alternative investment vehicle that aren’t subject to IRS contribution limits.

Are there any fees?

Gainbridge has a 30-day trial period. You can sign a contract and create an account with Gainbridge, then cancel within 30 days for free.

If you withdraw your money early after the first year of your annuity contract, you will be penalized. You can withdraw a minimum of $100 up to 10% of your account balance, but if you withdraw more than that, you will be charged a withdrawal fee of 1% to 3% of your account balance. This is called a surrender charge.

There is also a Market Value Adjustment (MVA), which modifies the annuity payments if the account is surrendered early and is applied in addition to surrender charges over the amount you can withdraw without penalty, and is calculated using the index rate and current interest rates at the time you purchase the annuity.

With SPIA, if you withdraw your account balance before the end of the guaranteed period, you will be charged a fee (conversion fee) of 4%.

Other than withdrawal fees, GainBridge does not charge any fees to set up an annuity. You only pay the initial premium for the contract.

How does it compare to Gainbridge?

How do I use Gainbridge?

Gainbridge Platform It’s easy to use, just go to the website and click the “Get Started” button or select the annuity you want to buy.

When you do this, you will be asked to provide information on how much you want to invest as an initial investment and for how long. Before you sign a contract, Gainbridge will provide you with a forecast of your expected earnings.

Once you have selected your annuity, you will need to provide information about yourself and your designated beneficiary (Gainbridge annuities pay a death benefit equal to the contract amount upon your death, subject to the terms of the contract).

To fund your annuity, you’ll need to transfer funds from an external bank account. If you have any issues during this process, you can contact an authorized agent via phone or chat.

Keep in mind that Gainbridge is offered in every state except New York.

Is it safe?

Gainbridge annuities are issued through Guggenheim Life and Annuity Company, which is not accredited but has an A+ rating with the Better Business Bureau.

Although there have been no significant complaints or data breaches, it’s important to note that Gainbridge is not a bank and therefore not FDIC insured.

How do I contact Gainbridge?

To contact Gainbridge, you can use the chat feature on the Gainbridge website to speak to a licensed agent, or you can speak to an agent over the phone (1-866-252-9439) or email (team@gainbridge.io).

Who is Gainbridge for and is it worth it?

Gainbridge is a great choice for those looking for a low-risk or fixed source of income in retirement. Annuities provide a regular cash flow, giving peace of mind to those worried about running out of retirement savings.

Gainbridge is also a good choice for those looking to park their cash in a high-yield account. With annual interest rates of up to 6.15%, Gainbridge offers a higher yield than the best certificated deposits (CDs) on the market. Regardless of when you plan to retire, if you don’t think you’ll need to touch your cash for a few years, an annuity can be a tool to help you take advantage of high interest rates.

Check out Gainbridge here >>

Gain Bridge Features

Multi-Year Guaranteed Annuities (MYGA); Single Payment Immediate Annuities (SPIA)

Up to 6.15% APY (as of June 22, 2024)

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