Protection from creditors in a Retirement Annuity
A limited number of institutions or people may claim money invested in your Retirement Annuity (RA). They include SARS in the case of unpaid taxes and a previous spouse, but then only in terms of a court-approved divorce settlement.
The only time a creditor may lay claim to the money in an RA, or any other retirement savings vehicle, is when you retire, and then only from any lump-sum amount you are paid. A creditor may also not claim money that is paid to you as an annuity bought with the benefits of an RA. For this reason, you cannot borrow against an RA or use it as security for a loan.
To learn more about the top ten things to know before buying a retirement annuity