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Annuities Fraud Puts Survivors Up Against Red Tape
By Robert J. Boumis
An investigation has been launched to explore class action lawsuits against corporations and individuals committing annuities fraud.
Annuities fraud consists of selling fraudulent or bad faith life insurance policies, investment fraud, or other misrepresentations of annuities. These scams can potentially cost the victim money through exorbitant fees for early withdrawal or say that a life insurance policy cannot be cashed out for a set number of years – usually years after the original victim has died.
Fraudulent annuities often use various methods of bureaucratic stalling to keep people from getting the money they are entitled to, leaving loved ones fighting red tape when they desperately need the type of financial help such annuities are supposed to provide.
This type of fraud frequently targets older consumers seeking life insurance or other investments for improved financial stability for themselves or their loved ones. In such a position, even otherwise financially savvy individuals may fall for a fraudulent annuities scheme. Complicating the situation, in the case of life insurance, the original purchaser of the policy isn’t around to tell their side of the situation.
In these cases, fraudulent annuities use a variety of tactics to avoid payouts. They often claim exorbitant fees above and beyond the normal cash-out fees associated with life insurance. For example, a fraudulent annuity may set a period during which the policy can only be cashed out with a penalty fee, even in the event of the death of the policyholder. This period may last more than a decade, and since fraudulent annuities often target the elderly, it may be more likely than not that the policyholder will pass on during this window.
Because insurance and other annuities are tightly regulated, if a life insurance policy or other annuity is fraudulent, consumer protection laws can help to protect victims of these crimes. However, it may require resorting legal assistance, possibly a lawsuit, to resolve such a situation and get the annuity to pay out. Fortunately, resources do exist to help you in this situation.
Obtain a Free Annuities Fraud Lawsuit Evaluation
If you or someone you care about has not been able to claim the benefits promised by an annuity, you may have found yourself in a tough situation. People count on annuities and investments to help them through dire financial straights, and when that money’s not there, people can feel like they’ve stepped off a cliff. But regardless of the challenges you’re facing, you need to remember that you still have rights, and there are steps that you can take to regain control over your situation.
You can start by visiting the Life Insurance, Annuities Fraud Class Action Lawsuit Investigation. Here, you can enter information about your situation for a review by a legal expert with a background in this type of litigation. This initial consultation is completely free of charge; there is no legal fee unless you win. From here, you can receive specific legal advice on the best steps to take in your exact situation.
All class action and lawsuit news updates are listed in the Lawsuit News section of Top Class Actions
