A Multi-Year Guaranteed Annuity is a fixed annuity that credits a guaranteed interest rate for a specific term, often 3 to 10 years. It grows tax-deferred and is commonly compared to a certificate of deposit.

What happens when the term ends?

At the end of the guarantee period, the contract enters a renewal period. The insurer will declare a new rate, which may be higher or lower. You can usually renew, withdraw, exchange via a 1035 exchange, or annuitize, depending on the contract.

Can I access my money early?

Most MYGAs allow an annual free withdrawal of up to 10% of the contract value. Amounts above that during the surrender period are subject to a surrender charge, which typically declines over time.

MYGA / Fixed

A guaranteed rate for a set term.

A Multi-Year Guaranteed Annuity (MYGA) is a fixed annuity that pays a declared interest rate for a specific number of years. Growth is tax-deferred, and the original premium is protected by the insurer's claims-paying ability.

Declared rateTax-deferred growthFixed term

Terms and renewals

What happens during and after the term

During the guarantee period, the insurer credits the declared rate. At the end of the term, the contract enters a renewal period. The new rate is declared by the insurer and may be higher or lower than the original rate.

You usually have a window near the end of the term to withdraw the full amount, move it to another annuity through a 1035 exchange, or renew into a new term — all without a new surrender charge on the original principal.

MYGA vs. CD

Feature	MYGA	Bank CD
Issuer	Insurance company	Bank or credit union
Principal protection	Backed by insurer's claims-paying ability	FDIC insured up to limits
Growth	Tax-deferred	Taxed annually unless in IRA
Liquidity	Surrender charges; often 10% annual free withdrawal	Early-withdrawal penalty
Rate term	3, 5, 7, 10 years common	Typically 6 months to 5 years

MYGA growth math

Enter your own principal, interest rate, and term. This is a user-entered illustration, not a quote.

User-entered illustration

Principal

Annual interest rate (%)

Term (years)

Estimated contract value at end of term

Total estimated earnings

Years

This is a hypothetical illustration based on the rate and term you entered. It assumes no withdrawals, no additional premiums, and annual compounding. Actual results depend on the specific contract.

See current Oklahoma MYGA rates

I publish the top Oklahoma multi-year guaranteed annuity rates every week, with carrier, rating, and minimum premium.

View Oklahoma MYGA rates

Frequently asked questions

Annuities are insurance products, not bank deposits. Guarantees are subject to the claims-paying ability of the issuing insurer. Withdrawals before age 59½ may be subject to a 10% federal tax penalty. Products, rates, and availability vary by state and change without notice. This page is educational, not a recommendation to buy, sell, or exchange any product.