Pre-need firm starts one payment system

Integrated financial services provider CMG of Australia received approval from the Securities and Exchange Commission (SEC) recently to sell one-pay pension and education plans.

This means the planholder can pay for his plan through a single contribution or through semi-annual, quarterly, or monthly installments over a period of one year. The new option is an addition to CMG’s current range of pre-need plans that are payable in three, six or nine years.

"The one-pay option offers many advantages to the planholder," vice president for marketing Tracy Tan said. "It is very convenience. You can pay one-time or pay the installments over a period of one year and then forget about it. After 10 or 15 years, you can collect the maturity benefit."

"You also get to enjoy significant discounts compared to a plan that takes longer to pay. And since your money stays invested longer, you are actually getting a better return on it.