MYAnnuity 7X (0% Free Withdrawals) review

It depends, and the deciding factor isn't the product design — it's how certain you are about your own liquidity needs. As a locked-rate MYGA, the mechanics are sound: a straightforward declared rate, a standard 87.5%-of-premium MGSV floor, and a death benefit that passes the full account value to beneficiaries with no surrender charge or MVA. What makes this specific share class a harder "yes" is that it removes the 10% annual free-withdrawal allowance most MYGA buyers take for granted. If an emergency requires cash before year seven, you're facing surrender charges as high as 9% plus a market value adjustment, with no free-withdrawal cushion to soften it.

The rational case for this share class is straightforward: if you have zero doubt you won't need this money for seven years — because you've set it aside specifically as a locked-rate allocation alongside other liquid savings — the 0.20-point rate pickup is money you'd otherwise leave on the table by choosing the 10%-free-withdrawal version. Over a $100,000-plus contract and seven years, that spread compounds into a meaningful dollar difference. Someone laddering MYGAs across multiple carriers, with adequate liquidity held elsewhere, is the clearest candidate for optimizing this way.

This is best suited to buyers in their 60s to mid-70s with substantial liquid assets outside this contract, using non-qualified or IRA money they've earmarked specifically for a seven-year hold. It fits someone comparison-shopping MYGA rates who has already decided they want the full seven-year commitment and simply wants the version that pays the most for that commitment. It is a poor fit for anyone who might need emergency access to a portion of these funds, or who is on the fence about the 7-year term itself — those buyers should default to the 10%-free-withdrawal share class or a shorter-duration MYGA instead.

Strip away the share-class language and this is a single-premium deferred annuity that pays a fixed, insurer-declared interest rate for seven years, full stop — no index, no participation rate, no cap. Nassau sets the rate at issue and guarantees it for the entire term. What you're actually buying by choosing the "0%" election is a contractual promise to the insurer that the money stays put for the full term, without the escape hatch most MYGA buyers get by default. In exchange, Nassau credits a somewhat higher rate, because that certainty lets the insurer invest the premium more aggressively on their end. It's the same trade a bank makes between a no-withdrawal CD and a liquid savings account, just wrapped in insurance-company terms.

The core feature is the declared fixed rate — 5.45% guaranteed for the full seven-year term as of the January 17, 2026 rate sheet, though Nassau's own Wink product profile separately lists 5.30% as of February 1, 2026, a reminder that MYGA rates move and any number quoted here is a snapshot, not a promise for a contract issued today. There's no crediting formula to evaluate, no index performance to track, and no participation rate or cap to erode returns — the rate locked in at issue is the rate earned every year of the term, compounded, until the guarantee period ends. At that point Nassau opens a 30-day window to take the money penalty-free, renew into the same 7-year term, or renew into a different term length Nassau is then offering.

The second feature worth understanding is what this share class removes: the annual free-withdrawal allowance. Most MYGAs — including Nassau's own 10%-free-withdrawal version of this same product — let owners pull up to 10% of account value each year with no surrender charge or MVA. This share class sets that allowance to zero. The only carve-out is a post-first-year RMD provision: starting in year two, one required minimum distribution per contract year is treated as a free withdrawal regardless of which share class was elected, but any additional RMD taken in the same contract year is not free. For anyone who might tap principal for reasons beyond a single annual RMD, that's a hard wall, not a soft one.

The surrender schedule runs a standard declining path for a 7-year MYGA: 9% in year one, stepping down a point each year to 3% in year seven, then falling to zero. A market value adjustment (MVA) also applies to withdrawals during the surrender period, which can move the effective penalty up or down depending on where interest rates have moved since issue — in a rising-rate environment, the MVA can make an early exit cost more than the surrender charge alone suggests. Because this share class carries no annual free-withdrawal allowance, there's no way to access even a modest slice of the contract each year without triggering both the surrender charge and the MVA, aside from the single post-first-year RMD carve-out. Nassau does offer elective surrender-charge waivers for nursing-home confinement (available to issue ages 80 and under, and not offered in Florida) and terminal illness, which provide a real relief valve for the two scenarios buyers worry about most — but they require proof of claim and aren't a substitute for planned liquidity.

There's nothing to erode the credited rate here: the brochure discloses no M&E charge, no product fee, no administrative charge, and no annual contract fee, which is typical for a MYGA and a genuine point in its favor — the rate quoted is the rate earned, full stop. The real cost of this product isn't a line-item fee, it's opportunity cost: giving up the 10% annual free-withdrawal allowance to earn roughly 0.20 percentage points more per year. Whether that trade is worth it depends entirely on the size of the position relative to a buyer's total liquid assets — for a well-diversified retiree, it's a reasonable yield optimization; for someone whose liquidity is thinner, the standard 10%-free-withdrawal share class is the more prudent choice even at a slightly lower rate.

Legal Entity: Nassau Life and Annuity Company

Parent: Nassau Financial Group

A.M. Best Rating: B++