One of the biggest advantages to a whole life policy is the fact that you can increase your payout by making investments in stocks, bonds, and mutual funds.
These loans are available as a home equity loan (with one time payout in a lump sum) or as a home equity line of credit (structured like a credit card) With either option, you must have equity and the credit score to qualify.
During the payout phase, individuals can choose to receive a lump sum payment of all monies earned and invested, or there is the option of having fixed payments that are made over a specified period or indefinitely.
Sometimes seniors who already have life insurance choose to take an additional policy if the death benefit payout of their original policy is low and not enough to pay for funeral, cremation or burial expenses.
Fixed rate annuities are purchased for the long-term savings and allow you to lock in a certain rate at the time of purchase that you will continue to pay until the maturity date for the payout.