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Deferred payment annuity |
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Deferred payment annuityAn annuity that stipulates payments be made to the annuitant at a later date, such as when the annuitant reaches a certain age.Deferred payment annuity Similar MatchesDeferred state pensionDeferred state pensionWhen reaching retirement age, a person can elect to defer payment of his/her state pension. The result of this is to increase the value of the pension by one seventh of one percent for every week deferred. The maximum deferment period is five years and no further contributions are required. Single Premium Deferred Annuity (SPDA)Single Premium Deferred Annuity (SPDA)An IRA-like annuity into which an investor makes a lump-sum payment that is invested in either a fixed-return instrument or a variable-return portfolio, which is taxed only when distributions are taken. Deferred interest mortgageDeferred interest mortgageInterest is not paid during the deferral period. When the period is over, the accumulated interest is added to the original loan. Some lenders add this interest to the total of your loan to give a new loan figure and new interest payments. Others calculate your interest payments on the original loan as normal and then spread the repayment of the deferred interest over a set period of time. The latter method is better for you, as adding the deferred interest to the loan means you end up paying interest on the deferred interest! Deferred callDeferred callA provision that prohibits the company from calling the bond before a certain date. During this period the bond is said to be call protected. Deferred interest bondDeferred interest bondA bond that pays interest at a later date, usually in one lump sum, effectively reinvesting interest earned over the life of the bond. See: Zero coupon bond. Further SuggestionsTax deferred retirement plansTax deferred income Deferred charge Deferred nominal life Annuity Deferred compensation deferred income child deferred endowment Contingent deferred sales charge (CDSC) Deferred equity Periodic purchase deferred contract Deferred account |
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