Will You Really Get The Best Buy Table Rate?
The problem with comparison Best Buy tables is that you won’t necessarily be offered the best buy rate shown.
Remember that the rates these tables give are specific to, say, a 65 year old man or woman with £100,000.
Simply because company Y gives the best deal for the 65 year old with exactly £100,000 does not mean they give the best deal for the 66 year old with a pension fund of £101,000.
When an annuity provider launches a Best Buy Annuity bear in mind that they are not obliged to offer it to anyone.
Their real purpose might be not so much to sell you that particular annuity deal so much as to just get you to make contact with them.
So why do they bother?
So why would they want you to call them about an annuity they probably won’t give you?
Well, let’s call it a loss leader.
Some experts say the motivation behind it is so that they can get you “into the shop”. Once in they can offer you a more expensive deal.
They know all about consumer inertia. You might just be fed up enough to go with what seems the easiest option.
But don’t do it. Get as many quotes as you can.
If you want to get an annuity, in our opinion the best starting point is to ask an Independent Financial Adviser (IFA).
Shop around for one. You can find them in the phone book – though a personal recommendation would be best.