New York Life Whole life policy cancellation

Friends, I started a whole life insurance policy with New York Life in 2017. After 8 years, I'm filled with regret. Here are the specifics of my policy: I pay $3,260 per year for 20 years, with a death benefit of $200,000 (which grows a little each year and is now at $223,000). My current cash value is $20,200, and I have accumulated $4,000 in dividends.

If I want to cancel, what’s the best way to minimize my losses?

If I surrender the policy directly, I can get back $20,200, losing about $6,000. I could choose the Reduced Paid-Up Insurance option, meaning I would stop paying premiums but keep a portion of the policy active. According to my contract, my death benefit would decrease from $200,000 to $86,000.

I’d like to know: If I choose to reduce my policy to $86,000 and stop paying premiums, will my cash value continue to grow? Will I still receive dividends? Will I still be able to access my cash value later?

What would be the best option for me? Thank you all for your help!!

To add a bit more context: The only reason I initially chose this policy and now regret it is because my agent misled me. I thought I could both access all the cash value and still have the death benefit payout after I passed, but now I realize I can only choose one or the other.

submitted by /u/Worth-Athlete-9953
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