Guaranteed Interest Account
About Our 2.50% Minimum Guaranteed Interest Account*
Our Guaranteed Interest Account (GIA) lets you save additional money for the future. You can deposit funds into the GIA to save for your child or grandchild, yourself, or to pay future life insurance premiums.
Your optional savings in the Guaranteed Interest Account will earn a current interest rate that may be higher than the lifetime minimum guaranteed interest rate of 2.50% per year. There is only a $5 minimum balance.
The maximum GIA balance is $5,000 for each $5,000 of life insurance death benefit coverage. In other words, if you choose a $20,000 life insurance policy, then you can save up to a maximum of $20,000 at the current interest rate.
* Fees may be charged for special services requested by the GIA owner (e.g.: wire transfer requests). Contact the American Savings Life home office for the current GIA interest rate being that current rates are subject to change, but will never be less than the 2.50% minimum guarantee.
Frequently Asked Questions
- How do I make deposits into my Guaranteed Interest Account?
- You may include a deposit with the insurance application, or at any time afterwards you may mail or drop off deposits at our corporate office in downtown Mesa, Arizona.
- How do I make withdrawals from my Guaranteed Interest Account?
- You may request to withdraw any or all of your GIA account balance in person or by mail. Since the savings account is optional, you may close it at any time and still keep the life insurance policy in force.
- How do I pay premiums from my Guaranteed Interest Account?
- Premiums will only be paid from your GIA if you do not pay them prior to the due date. This ensures your life insurance policy does not lapse in coverage unintentionally.
Opening your Guaranteed Interest Account
Opening your Guaranteed Interest Account would be indicated on the Youth Life insurance application or can be established anytime afterwards. The Guaranteed Interest Account Rider is available for your review and will be included with the life insurance policy.
An IRS Form W-9 is required to be submitted to American Savings Life’s home office prior to establishing the Guaranteed Interest Account that will be linked to the life insurance policy. The GIA is separate from the life insurance policy with GIA interest earnings reportable to the IRS.
The Guaranteed Interest Account (GIA) is linked for premium payments of a life insurance policy but is not internal to the life insurance policy. GIA interest earnings are not tax-deferred, are not tax-free upon death, and are reportable as taxable interest. Refer to the GIA Rider. The Guaranteed Interest Account is not a product of, nor is it a deposit of, nor is it guaranteed by any bank or credit union and is not insured by the FDIC or any other federal agency. All guarantees are backed by the financial strength and claims-paying ability of American Savings Life Insurance Company, 935 E. Main Street, Mesa, Arizona 85203-8849. Youth Life Plan policy forms 1000 (Standard Death Benefit) and GIA Rider form 1020. Available only in Arizona and Utah.