American Life Life Fee-Based MYGA — 3-year fixed annuity at 5.65%
- Locks in 5.65% for 3 years
- Open with $10,000 to $1,000,000
- Free withdrawals allowed for:
- 10% of your balance each year
Rates as of May 8, 2026
Projected balance
over 3 years
Compounded at 5.65% guaranteed. No market exposure, no fees deducted from your balance.
| Year | Earnings | Balance |
|---|---|---|
| 1 | $565 | $10,565 |
| 2 | $597 | $11,162 |
| 3 | $631 | $11,793 |
| Total earnings | $1,793 | $11,793 |
Free-withdrawal allowance: 10% / yr after year 1. Withdrawals beyond the allowance trigger the surrender charge below.
- Rank vs. peers
- #19 of 148 (top is 6.00% — Sentinel Security Personal Choice ages 60+)
- Top 3-year CD
- 4.20% APY · $11,314 at maturity (taxed annually)
Same product, other terms
Other Life Fee-Based MYGA terms from American Life
Projections shown for a $10,000 premium.
| Term | Rate | Projection | |
|---|---|---|---|
| 3-year | 5.65% | $11,793 | You're here |
| 5-year | 5.80% | $13,256 | View → |
If you withdraw early
Surrender charge schedule
Surrender charges apply to withdrawals beyond the free-withdrawal allowance during the contract term. The charge is a percentage of the amount withdrawn, decreasing each year. They exist because the carrier matches your premium against long-duration assets — early redemption forces them to unwind those positions.
| Contract year | Charge |
|---|---|
| Year 1 | 9.0% |
| Year 2 | 8.0% |
| Year 3 | 7.0% |
Contract terms
What else to know
Term
3 years guaranteed at 5.65% APY
Investment range
$10,000 – $1,000,000
Funding sources accepted
Roth Conversion (Partial), Roth Conversion (Full), Traditional IRA, Non-Qualified, IRA-Roth, SEP IRA
Owner age
0 to 90 years old
Death benefit
Full accumulated value passes to your beneficiary, no surrender charge.
Riders & waivers
- Death Benefit Waiver
Maturity
30-day window at the end of the term to withdraw, reinvest, or convert to guaranteed income via annuitization.
Tax treatment
Interest accumulates tax-deferred. Personal post-tax funds: only the interest is taxable on withdrawal. Withdrawals before age 59½ may be subject to a 10% IRS penalty.
Source: American Life contract brochure (download PDF). Anything you act on should be confirmed against the carrier's most recent filing.
First time looking at fixed annuities? How they compare to a CD →