Financial: The useless ILP, & how to go about terminating it

[Kusje]

  On 10/11/2017 at 7:30 AM, Enye said:

you might as well ask your wife to surrender all her money to you and you give her daily allowance

 

 

She will refuse to do so. I cannot control her money but I can control the expenditure.

[Lala81]

  On 10/11/2017 at 6:34 AM, Roadrunner2029 said:

Certainly still work on a lot of people, not only work but flourishing and has likely gone high tech. Having a critical mind is important, don't believe in everything you see or read, both offline and online -- even if your friends tell you so.

 

Place you in an environment, well planned and well organised like a big event, a lot of well dressed people with big titles, provide you good food, present to you so-called expert information, so-called expert accreditation and the best part is peer pressure, when there are other participants giving thumbs up. Nowadays they can even do it via social media, get a hundred people give Likes, and positive comments. 

 

When some friends tell me "this is very good", and I ask them "how is it good". 9 out of 10 times, they cannot explain why good, they are just brainwashed by other friends or by attending some seminar or some event give them free food, free drinks, see many "big shots".

 

Be skeptical of the answer you think is right or like 

[Lala81]

  On 10/11/2017 at 6:54 AM, Enye said:

obviously your wife is worried about the future and you are totally in the dark.....

 

you probably need to try to figure out what she is concerned about and share your own financial plans with her

 

  

 

well said.

[Wind30]

  On 10/11/2017 at 6:54 AM, Enye said:

obviously your wife is worried about the future and you are totally in the dark.....

 

you probably need to try to figure out what she is concerned about and share your own financial plans with her

 

  

 

We are not really savers... just pay of housing loans....

 

She knows I am very against "insurance" plans because we had a big argument when she bought the 70k plans for the kids... so that is probably why she did not tell me because I will veto it. 

 

now she went and bought a 450k plan....

[Enye]

  On 10/11/2017 at 8:28 AM, Wind30 said:

We are not really savers... just pay of housing loans....

 

She knows I am very against "insurance" plans because we had a big argument when she bought the 70k plans for the kids... so that is probably why she did not tell me because I will veto it. 

 

now she went and bought a 450k plan....

 

you have avoided the main issue and the source of your wife's concern....

 

how are you intending to fund your kids education and retirement if you are not really savers and don't believe in insurance?

 

if you already have a concrete plan and shared it with your wife, she probably won't feel so insecure about the future

 

[DACH]

  On 10/11/2017 at 8:28 AM, Wind30 said:

We are not really savers... just pay of housing loans....

 

She knows I am very against "insurance" plans because we had a big argument when she bought the 70k plans for the kids... so that is probably why she did not tell me because I will veto it. 

 

now she went and bought a 450k plan....

Maybe you should do a write up calculations with her on the policy and how much is made/benefited during the tenure of the policy and how much is to be invested/paid for the policy. Let her see if the benefits outweighs the money paid in over the long term in black and white.

If it does not, you should educate her that these policies are probably not worthwhile and or probably just scams.

Of course, explain to her in a truthful and detailed manner. But if she believes the agent more then her husband, then I have nothing to say. 

 

There is not sure make money plans in ILP. All these are just marketing talk. 

[Kusje]

  On 10/11/2017 at 9:09 AM, Enye said:

you have avoided the main issue and the source of your wife's concern....

 

how are you intending to fund your kids education and retirement if you are not really savers and don't believe in insurance?

 

if you already have a concrete plan and shared it with your wife, she probably won't feel so insecure about the future

 

 

He said housing loans. Never tell you how many houses he has 

[Wind30]

  On 10/11/2017 at 9:09 AM, Enye said:

you have avoided the main issue and the source of your wife's concern....

 

how are you intending to fund your kids education and retirement if you are not really savers and don't believe in insurance?

 

if you already have a concrete plan and shared it with your wife, she probably won't feel so insecure about the future

 

We dont belong to the category where we have to worry for kids education or retirement I think. That’s is why I am puzzled why she must buy so many stupid policies

 

I have enough cash to fund the children education already assuming local education.

 

For retirement, my property can be considered paid up... basically we have very little commitments...

Edited October 11, 2017 by Wind30

[Aventador]

  On 10/11/2017 at 8:28 AM, Wind30 said:

We are not really savers... just pay of housing loans....

 

She knows I am very against "insurance" plans because we had a big argument when she bought the 70k plans for the kids... so that is probably why she did not tell me because I will veto it.

 

now she went and bought a 450k plan....

You have to consider that she may be thinking you will not be supporting her when she is retired.

 

And ask yourself why?

[Windwaver]

  On 10/11/2017 at 4:08 AM, Solar said:

Roadshow at kovan where they give fried ice cream.. don't have millions to warrant the other kind la bro 

 

Moment I see agents siam far far, even if got a lot of "ice cream" I also don't want 

 

Partly because work place see "ice cream" until no feel liao. I really pity doctors and nurses, how to have feel huh? 

  On 10/11/2017 at 6:47 AM, Wind30 said:

I had a big qiarrel with my wife yesterday after I found out she bought a retirement policy recently behind my back....

 

1.6k monthly for over 22 years... over 422k in premiums altogether....

 

She has paid for around 16 months.... should I just ask her to stop it?

 

It is a bit like CPF life, she can draw out 2k every month from age 60-80

 

Wah, her agent really MDRT liao this year 

[Solar]

  On 10/11/2017 at 6:54 AM, Enye said:

obviously your wife is worried about the future and you are totally in the dark.....

 

you probably need to try to figure out what she is concerned about and share your own financial plans with her

 

Perhaps she considers it as forced savings and safe haven like the Cpf. Can put in but difficult to take out, only when it's really needed 22 years later.

Not wrong as long as it's capital guaranteed with some returns.

 

Like some years ago i bought some gold bars behind my wife back and she was super pissed till she stopped talking to me for days.

My thoughts is savings in another unmovable asset, or run road

[Solar]

  On 10/11/2017 at 6:50 AM, Wind30 said:

get back nothing

Once both of u discussed and amicably agree that u have better plans for the money, it's easier to cut loss early. 16 months is still rather early than decide to terminate after 5 years.

Just treat it as cut loss from a bad investment

[Wind30]

  On 10/11/2017 at 2:19 PM, Solar said:

Once both of u discussed and amicably agree that u have better plans for the money, it's easier to cut loss early. 16 months is still rather early than decide to terminate after 5 years.

Just treat it as cut loss from a bad investment

Agreed after working out the guaranteed portion and comparing it with SGS bonds, it make sense to terminate cuz the returns is just horrible.

 

The big question I have is do people actually get any non guaranteed returns 20 years down the road?? Why would AIA give you any non guaranteed returns?

[Solar]

  On 10/11/2017 at 11:47 PM, Wind30 said:

Agreed after working out the guaranteed portion and comparing it with SGS bonds, it make sense to terminate cuz the returns is just horrible.

 

The big question I have is do people actually get any non guaranteed returns 20 years down the road?? Why would AIA give you any non guaranteed returns?

My case.. They touted it as investment that can potentially go south, but via dollar cost averaging they can be profitable in the long term (ya right).

They even give some 5% or more units after a few years with them.

 

The format they used in their policy doc looks similar to the guaranteed one in life insurance.

 

Little will anyone know that it's actually making loss even after the initial few years unless they go check diligently.

 

Btw, u see the statement, many deductions like insurance component, admin, units.. end up the money u put in will never be able to break even, much less earn.

[Buadongdong]

My FA advises me not to surrender as it is a sure lose situation leh.. Told me to hold it and treat it as a supplement insurance coverage and terminate when I'm 54 -56 yrs old. That's the age (according to the predicted table) that I'm supposed to break even. After that, whatever profits (if any) will go into higher cost of insurance coverage and eventually eat up the profits. So i'm still hanging on to it lor.. suck thumb.. got conned into thinking this would be a good plan. Young and naive indeed.

[Kusje]

  On 10/12/2017 at 2:41 AM, Buadongdong said:

My FA advises me not to surrender as it is a sure lose situation leh.. Told me to hold it and treat it as a supplement insurance coverage and terminate when I'm 54 -56 yrs old. That's the age (according to the predicted table) that I'm supposed to break even. After that, whatever profits (if any) will go into higher cost of insurance coverage and eventually eat up the profits. So i'm still hanging on to it lor.. suck thumb.. got conned into thinking this would be a good plan. Young and naive indeed.

Is this the same FA that sold it to you in the first place?

[Buadongdong]

  On 10/12/2017 at 4:47 AM, Kusje said:

Is this the same FA that sold it to you in the first place?

Oh no no no.. This one made money for me as of this moment.. The one that sold me was from a another company.

[Kusje]

  On 10/12/2017 at 5:28 AM, Buadongdong said:

Oh no no no.. This one made money for me as of this moment.. The one that sold me was from a another company.

 

Make money doesn't necessarily mean good hor. 

 

Unless you tell me he demonstrates a damn good understanding of the underlying instruments that he has recommended you to buy and also an understanding of the fund manager.