What’s the Deal on Structured Settlements?

Selling lottery payments

If you’ve ever been channel surfing on the couch at 4 am with two of your best pals Ben and Jerry, (Phish Food, of course) it’s likely that you’ve seen the one of many ridiculous structured settlement annuity commercials. (Does “It’s my money and I want it now!” ring any bells?)
But what does a group of opera singers on a bus have anything to do with structured annuity settlements? Well, nothing to be honest. But if you’re looking for the facts on getting cash for your structured settlement, here are the basics of structured settlements and annuities.

What’s a Structured Settlement?
When you are a plaintiff in a lawsuit and your case is successful, structured settlements are cash settlements that are given to you in increments, rather than all at once. By receiving these payments over the course of years instead of all at once, you avoid any taxation on the monetary sum. This is one of the structured settlement annuity benefits that makes them so appealing for some.

Why Sell Your Structured Settlement?
If you want to sell your structured settlement, it’s likely because your situation has changed and you need the cash sooner than your yearly installments will allow. There are many reasons why individuals would want to sell their structured settlement in today’s economy. To date, Americans owe a total of almost $12 trillion in debt. This is largely attributed to the outstanding student debt that is currently crippling the younger sector of our adult population, as well as outstanding and unpaid medical bills.
In order to sell your structured settlement, a few things need to happen. Firstly, you need a structured settlement factoring company, like the ones featured on late night television. These factoring companies will buy your settlement at a discount, charge you for their services, and give you the remainder of your settlement.

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