For Manulife Ready Payout Plus (10 pay 15) plan - Is anyone on this plan? Did you opt to receive the money returns or let it accumulate?

I'm new to savings plans for discipline myself on saving. My premium is about $600/mth. After a point of time, I felt uncertain whether did I making the right choice because I will only be able to 'see the $' after 15 years , and also some of the money is not guaranteed to get it back ¿ (fears of getting back less than what is expected.)
Is anyone else on this plan? Do u mind to share your experience so far? Did you opt to receive the $ returns as yearly or let it accumulate?

Discussion (3)

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Ow Jie Liang

24 Dec 2020

Student Ambassador 2020/21 at Seedly

A friend bought this plan some time back and we had a good discussion about it. it really depends what are your objectives and how does this plan help you.

for my friend, I believe it is much better that the money will do better elsewhere (diy investing, cpf etc)

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PolicyWoke

23 Dec 2020

Turbo-charge Your Savings with REPs at PolicyWoke

Hi Anonymous,

Before you buy your Manulife ReadyPayout Plus policy, did you read and understand the following clause found in the proposal?:

Buying a life insurance policy is a long-term commitment. An early termination of the policyusually involves high costs and the surrender value payable (if any) may be less than the total premiums paid.

Since you have already purchased this policy, calculate the opportunity cost, i.e. the forward internal rate of return of the policy. After you got the percentage, then decide for yourself if you wanna continue servicing it or give it up.

If you need help in calculating the forward internal rate of return of your policy, you may PM me (Jimmy) at 90904329 . Also, speak with your financial advisor about your concerns in holding this policy.

Disclaimer: PolicyWoke is a 2nd-hand endowment policies broker

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