AIG Question

[jarvis]

I'm new around here. I hope someone can help me. I have some money in a bridge account with AIG that I inherited from my mother. She originally had an annuity account with AIG. It's currently collecting 2%. All I hear about AIG lately is bad news. Should I try to cash this out? Should I start paying bills with this money? Any advice/suggestions would be mos' appreciated.

Thanks for your help.

[tripods68]

AIG problem is on their financial services side which wrote most of the mortgage securitization and credit default swaps. Their insurance business is sound according to the news. They may end up selling most of their assets which would include many of their core and profitable businesses to pay back TARP. We know cashing annuities carry high surrender fees up to 10% valued asset. You might want to find out how much it will cost you upfront for liquidation. It also might depend how long you have this and how much is it worth now?

[jarvis]

Thanks, tripod. That puts my mind a little bit more at ease.

[Pretty Princess]

Hey,
I am writing this after the conversation I had with AIG and my bridge account. My grandfather passed and he left me some money, which was trough AIG so they set up my bridge account and I got everything like I was supposed to. Then I started having problems. I wanted to transfer all of my money in my bank. AIG Bridge account is not FDIC protected. (meaning if something happens it is gone) I was told just write a check and you can transfer the money. Well they do not do wire transfers.......at all to your bank. I just found out that I have to literally write a check and walk it in. I forgot to mention that we are military and can not just walk into our bank. We called the head of the company and are on the phone right now to figure this out. We will see I will keep you updated. Main thing AIG bridge accounts are not FDIC protected. Beware.

[Pretty Princess]

I was just informed that a bridge account is protected by money market insurance. I really doing know what that means can anyone tell me. I still don't feel safe not having it protected by the FDIC.

[tripods68]

FDIC insured account up to $250K if EVER AIG goes bELLY UP! If you don't feel it safe anymore, just do what exactly they say, write up a check or set up a transfer account online (bill payment) to another institution.

[Pretty Princess]

Thank you for replying tripods68. Honestly I really don't know who to trust, it is kind of scary. They will still not allow me to transfer the money like you suggested. Have to do it the old fashioned way I guess. We are still trying to get all of this taken care of. The only problem is that again it is not like I can wai lk into my bank and say here is the check. I have to mail it into them. I think I am more upset that I was not told any of this when the account was opened. Live and learn right.