You may be able to "pledge" a non-qualified annuity as collateral for a bank loan.
Most contracts have a "surrender period" (typically 5–10 years) where early withdrawals trigger fees as high as 20%. can i use my annuity to buy a house
Loans typically avoid immediate taxes and surrender charges as long as they are repaid on time. 3. Using Annuity as Collateral You may be able to "pledge" a non-qualified
The IRS offers a specific "penalty-free" exception for certain retirement funds. you may borrow up to $50
Some providers allow you to borrow against your own contract value.
If held in a retirement plan, you may borrow up to $50,000 or 50% of the balance (whichever is less).
Can You Use an Annuity to Qualify for a Mortgage? - FREEandCLEAR