Interest Credited definition

Interest Credited. The Company guarantees that the interest credited during the first Policy Year to the initial Net Premiums allocated to the Fixed Account will be at a rate not less than the Initial Annual Effective Interest Rate for the Fixed Account shown on the Policy Schedule. For subsequent Net Premiums allocated to the Fixed Account or Policy Value transferred to the Fixed Account, the guaranteed interest rate applicable will be the annual effective interest rate in effect on the date we receive the subsequent Net Premium or the date the transfer is made. Such guaranteed interest rate will apply to such amounts for a twelve-month period which begins on the date the Net Premium is allocated or the date the transfer is made. After the guaranteed interest rate expires, we will credit interest on the Fixed Account Value attributable to such Net Premiums and transfers at the current interest rate in effect. New current interest rates are effective for such Fixed Account Value for 12 months from the time they are first applied. The Initial Annual Effective Interest Rate and the current interest rates the Company will credit are annual effective interest rates of not less than the annual Guaranteed Interest Rate for Fixed Account shown on the Policy Schedule. For purposes of crediting interest, amounts deducted, transferred or withdrawn from the Fixed Account will be accounted for on a “first-in, first-out” (FIFO) basis. We reserve the right to apply different interest rate guarantees to certain amounts credited to the Fixed Account. Interest shall be credited to the Fixed Account on a daily basis. DETERMINING VARIABLE ACCOUNT VALUES Variable Account: The Protective Variable Life Separate Account, a separate investment account of the Company used to fund variable life insurance benefits to which Policy Value may be transferred or into which Net Premiums may be allocated. The variable benefits under this Policy are provided through the Variable Account. The Variable Account is registered with the Securities and Exchange Commission as a unit investment trust under the Investment Company Act of 1940. The portion of the assets of the Variable Account equal to the reserves and other contract liabilities of the Variable Account are not chargeable with the liabilities arising out of any other business the Company may conduct. We have the right to transfer to our General Account any assets of the Variable Account which are in excess of such reserves and other liabilities. The asset...
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Interest Credited. We will credit interest on the Fixed Account Value at the guaranteed rate of 4.0% per year. This guaranteed rate equals 0.0032737%, per month, compounded monthly. We may credit interest in excess of the guaranteed rate. If the interest rate credited is greater than 4.0%, additional guaranteed excess interest of .85% will be credited to the Fixed Account Value beginning in Policy Year 11 or, if later, at the younger Insured's Attained Age 65. During Policy Years 1 through 10 the Loan Account Value equal to the non-preferred loan will earn interest at the guaranteed rate. We may credit interest in excess of the guaranteed rate. Beginning in Policy Year 11 or, if later, at the younger Insured's Attained Age 65, the interest earned by the portion of the Loan Account Value equal to the Preferred Loan will be credited at the guaranteed policy loan interest rate. Interest, at the rates specified, will be earned by the Loan Account Value and credited to the Fixed Account Value and the Separate Account Value in the same proportion in which the Loan Account Value was originally deducted from these values. Interest credited to the Loan Account Value will never be less than 4.0% per year.
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Interest Credited. The Company guarantees that any Net Premiums allocated to the Fixed Account, or Policy Value transferred to the Fixed Account, will be credited interest at a rate not lower than the Guaranteed Interest Rate for Fixed Account reflected on the Policy Schedule. Interest will begin to accumulate on the date the Net Premium is allocated or in which the transfer is made. DETERMINING VARIABLE ACCOUNT VALUES
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Examples of Interest Credited in a sentence

  • AMERICAN UNITED LIFE INSURANCE COMPANY Secretary Guaranteed Benefit Employer-Sponsored TDA and Qualified Plan Multiple-Fund Group Variable Annuity [(X)(SBR)] Certificate Current Interest Credited Nonparticipating ACCUMULATION UNITS IN AN INVESTMENT ACCOUNT UNDER THE CONTRACT MAY INCREASE OR DECREASE IN VALUE ACCORDING TO THE INVESTMENT PERFORMANCE OF THE UNDERLYING INVESTMENTS HELD BY THE INVESTMENT ACCOUNT.

  • AMERICAN UNITED LIFE INSURANCE COMPANY Secretary Guaranteed Benefit Employer-Sponsored TDA Multiple-Fund Group Variable Annuity [(SBR)] Certificate Current Interest Credited Nonparticipating ACCUMULATION UNITS IN AN INVESTMENT ACCOUNT UNDER THE CONTRACT MAY INCREASE OR DECREASE IN VALUE ACCORDING TO THE INVESTMENT PERFORMANCE OF THE UNDERLYING INVESTMENTS HELD BY THE INVESTMENT ACCOUNT.

  • The Account Value in the Loan Account on subsequent Valuation Dates equals: · the Account Value in the Loan Account on the preceding day credited with interest at the Interest Credited on Loan Account rate specified in Section 1, plus · any amount transferred from any Investment Option to the Loan Account for Policy loans requested on that day, less · any loan repayments made on that day.

  • AMERICAN UNITED LIFE INSURANCE COMPANY Secretary TDA Multiple-Fund Group Variable Annuity with Guaranteed Minimum Death Benefit [(SBR)] Certificate Current Interest Credited Nonparticipating ACCUMULATION UNITS IN AN INVESTMENT ACCOUNT UNDER THE CONTRACT MAY INCREASE OR DECREASE IN VALUE ACCORDING TO THE INVESTMENT PERFORMANCE OF THE UNDERLYING INVESTMENTS HELD BY THE INVESTMENT ACCOUNT.

  • For purpose of the forgoing: Excess Indexed Interest Credited, or EIIC, equals IAVt - IAVt-1 + WV Option Budget Refund for withdrawals, or RFND, equals SCHEDULE D DAC TAX ELECTION §1.848-2(g)(8) Election.

  • Interest Credited: 5% per annum Death Benefit: Single-Pre retirement: Refund of employee contributions with interest to date of termination or death.

  • Schedule 2 Definitions 4 General Provisions 6 Control Provisions 7 Interest Credited and Guaranteed Periods 9 Premium Taxes 8 Surrenders - Termination 8 Annuity Options 10 Annuity Tables 11 IPD-2083 10/99 Account Value - The sum of all Sub-Account Values.

  • Value Fixed Account Interest Rate Transfers...............................................................16 Transfers Limitation on Transfer from the Fixed Account Loans ...............................................................17 Loan Account Interest Charged on Loans Interest Credited on Loans Repayment of Loans Surrender............................................................


More Definitions of Interest Credited

Interest Credited. We credit interest on your Interest Option(s) at interest rates we have declared effective for such Guarantee Period (“Current Rate(s)”). Each Current Rate(s) will be guaranteed for a specific Guarantee Period. Unless declared otherwise, interest accrues and compounds daily at an annual effective rate equal to the Current Rate(s).
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