The boyfriend, Louis Jochim, said in an interview that Ms. Schuber knew he was pleased with his annuity and wanted one as an alternative to a bank certificate of deposit.

WSJ: Annuity Case Chills Insurance Agents

The Social Security and pension fund annual increases based on the CPI made sense four decades ago when inflation was 12 percent and you could earn 12 percent in a plain vanilla bank certificate of deposit.

FORBES: The Real Story Behind Obama's Proposed Social Security 'Cuts'

Participants also had to own investments other than a bank savings account or certificate of deposit.

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So GM's bank can pay an affordable 4% on a two-year certificate of deposit.

FORBES