Annuitants Federal Bank
Annuitants Federal Headquarters: San Diego, California
Information from the Better Business Bureau:
- Been in business since: 9/27/1999
- BBB Rating: A+ (A+ for AnFed, A- for BofI)
- BBB Accredited: Yes
- Complaints: 6
- Closed Complaints: 6 (4 out of 6 closed to the customers satisfaction).
- BBB Reviews: 0
Annuitants Federal Bank
Annuitants Federal Bank (better known as AnFed Bank) is a California bank that purchases structured settlement annuities and lottery prize winnings for a lump sum of cash so they can help with the lottery lump sum or annuity debate. AnFed is actually a division of the Bank of the Internet, or BofI Federal Bank, based in San Diego, California. Besides being an annuity payment buyer, AnFed is a federally chartered, FDIC-member bank (through BofI).
AnFed Bank is different from other structured settlement companies we profile here on Sell My Annuity guide. In addition to purchasing various annuity payments AnFed appears to serve the needs of annuity payment sellers who, after receiving their lump sum payout, may not be sure what their next move is. AnFeds website lists their ‘guaranteed’ funding as an advantage over a third-party broker. Some annuity buyers act as middlemen between the seller of annuity payments and the end buyer of the annuity income stream (typically an institutional investor).
AnFed provides a place to park that money until the annuity seller needs to access it. Some people would rather just have the money in a bank, possibly to replenish lost retirement savings from an IRA or 401k plan. As the bank, they have pretty unlimited funding capabilities. Not surprising, we have read reports of a $1500 funding bonus.
Annuitant Federal Bank Reviews:
The Beats are on them! We’ve seen many promotions come and go in the annuity payment industry, but we have never seen anything like this. AnFed is running an unusual promotion until September 30, 2016. Anyone who calls in to learn more about how their structured settlement annuity payments or lottery payments can become cash now, gets a free pair of Beats by Dre Solo2 headphones. (How times have changed-banks used to give away toasters, now its Beats headphones).
Most call-in promotions typically offer a $50 gas card or something of that nature. We’d guess that even after the promotion’s deadline, they might still be able to provide some more to callers. But realize, that responding to this promotion, likely gives consent to receiving calls and text messages from AnFed (from a disclaimer on their website). It also says the annuitant must own the annuity free and clear of liens and other third party claims. So keep that in mind before you get a quote from them.
The few complaints we found on AnFed bank were pretty standard for the industry but nothing outrageous. They involved what appears to be the annuitant’s misunderstanding of the purchase agreement with things like changing (reducing) the lump sum purchase amount because of processing/court delays (while the annuitant continued to receive annuity payments). Another was in regards to contacting a family member of a prospect, which we never like seeing.
We also read a few negative reviews on working at AnFed bank from disgruntled employees on Glass Door. The complaints were about low pay. Banks are notorious for paying employees low (but that could actually be a good thing if you’re selling annuity payments to them).
Should I Sell my Annuity to Annuitants Federal Bank?
We like that this particular annuity buyer is also a bank. It adds some credibility in an area (the annuity payment purchasing industry) that has seen a few bad apples come and go. We would feel comfortable getting a quote for annuity payments from AnFed Bank. We always think it’s a good idea to get every quote in writing (email should suffice).
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