News and Tips on structured settlement transfers.

Cash

July, 2011


14
Jul 11

Medical Relief via Structured Settlement Sales

Sometimes selling your structured settlement payments becomes the best option for relief from debt. If you are deep in debt from a medical bill and are receiving a structured settlement, you can sell structured settlement to get a lump sum cash advance. You can then use this lump sum cash advance from selling your structured settlement to pay off the debt before it gets worse. In some cases, just the interest on your medical bills if you we not to pay them off promptly can be greater than the fees you may pay fro selling your structured settlement payments for a lump sum.

Get rid of that huge medical bill debt and sell structured settlement

If you have a huge medical bill, there is a good chance that you have a structured settlement, (and if you don’t, you might want to look into what y our options are).
Structured settlements are helpful to people who have sustained a serious injury and cannot work any longer. Sometimes, however, the regular amount of the structured settlement payment is not enough to lift them out of the debt that they acquired from the medical expenses that resulted from that injury.

With the large number of factoring companies offering this service, you should have little to no trouble selling your structured settlement payments. When it comes time to sell, refer to previous articles on how to find the right company for you. Once you find that company, you have no more waiting for your monthly structured settlement payment. No more worrying about your debt. No more fitting your huge medical bill debt into your monthly budget.

When you sell structured settlement and receive a lump sum cash advance you will suddenly have the luxury of paying off that huge medical bill and still have money to live off of.
So you decided to sell structured settlement and get a lump sum cash advance. Now what?

First, pay off that huge medical bill because it will keep building and will put you further into debt if you don’t. Then take whatever money you have left over from the lump sum cash advance you got and invest it. Make sure you invest wisely; in a way that you can gain enough interest that you can live on.

Make sure you speak to a professional about this. When you sell structured settlement and get a lump sum cash advance, there is always the danger that you will not be able to budget your money after you pay off your huge medical bill. Don’t let this happen to you!

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


14
Jul 11

Making Sense of Selling Your Structured Settlement

When you want to sell your structured settlement payments some companies you may talk to will feed you the oh so popular line that “It’s your money” do do with as you please. Well, yes. It is your money. And, yes. You may spend it however you like. What the often won’t mention is that sometimes the reason for selling is valid, and sometimes your reason just doesn’t make good financial sense.

If you’re planning on going on a holiday shopping spree and need a little extra cash to fill the stockings, your structured settlement is not a good place to look for dollars.  However if you have gotten yourself into a situation where you are drowning in debt at very high rates, it may make financial sense to use part of your settlement to clear the books.

When faced with a serious financial crunch, some people hastily sell their annuities and structured settlements to the first company who would be willing to buy them for a lump sum amount. These companies who are willing to buy-out annuities and structured payments are commonly referred to as “Factoring” companies, because they use “Factors” to determine how much future payments are currently worth, and how much they should buy them for.

Many companies that advertise structured settlements web make the process seem easy. The process of selling your structured settlement can be a complicated legal process that requires court approval and can take up to 90 days to complete.  Structured settlements are not available in every state.

Selling your settlement under some of these scenarios can save you money and ensure you keep a solid credit rating, however it is critical to note that if you are going to sell all or part of your settlement to pay off credit card debt, you must have a plan to keep that debt from creeping back up on you or it will all have been for nothing.   This requires making a future budget and possibly consulting with a financial counselor to figure out how to keep out of such a financial mess in the future.

Your structured settlement or annuity is the foundation of your financial future. If you find yourself in financial need now, you should at the very least give yourself a couple more weeks to shop your deal to the competition.

You might be telling yourself that you cannot afford to wait, but the truth is that you cannot afford to take the first bid that you are offered. In some cases, jumping at the first offer could be the equivalent of financial suicide to a structured settlement owner.

It’s important to speak and deal with a company that knows the process well and can take you through it smoothly.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


14
Jul 11

5 Things Before You Sell Your Structured Settlement

I many situations in the life, to get a lump sum is a must and you just cannot wait for the structured settlement annuity payments, which will come in the future. The market has operators, which can buy your structured settlement and to turn it into the cash money.

Many people, who have met sudden cost increases, like the increase in the medical bills, are the typical users, who are willing to sell their structured settlement annuity agreements. An owner can sell also only a part of the structured settlement annuity agreement.

1. You Need A Reputable Buyer.

The world is full of scam companies, who just want your money. The worst thing, which can happen is, that you will lose the agreement without getting anything. So what you need to do is to find a reputable buyer, to whom you can trust. Talk with their earlier customers and contact the Better Business Bureau.

2. Talk With The Legal Advisor.

But guarantee first, that this legal advisor is a legitimate operator. The advisor can guide you to pick the right buying company, rather a long term venture, who will do the payments as agreed. The advisor can also guide about the contract terms, especially those small print details.

3. Do You Know Your Rights?

First, to sell the structured settlement annuity agreement is totally legal process and accepted by the most states. Private persons have done these deals for years. However, only the legal advisor can tell you what is permitted and what rights you have in the process.

4. Evaluate The Position Of Your Structured Settlement In Your Long Term Financial Plan.

Why? Because the regular payments were parts of your earlier plan and were needed to guarantee, that you can manage all the payments. When you will sell the total agreement or a part of it, those regular payments will disappear totally or partly and you will get cash money instead. What happens?

5. The Expert Guidance And Several Offers Are Needed.

The selling of the structured settlement is a long term, legal arrangement, which includes, that you will fully understand the details and that you will pick trustworthy companies and other experts to operate with.

In this process talking to other people is really valuable. The more you get the expert guidance and the more you read, the better deal you will make. The worst thing is to make a deal in a hurry with the first company you meet.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


14
Jul 11

Thoughts on Selling Your Structured Settlement

At some point or another, you may find yourself in a situation where you are in urgent need of sizeable, lump sum amount of money. Perhaps you need money for a medical emergency, make a down payment on a house, or start a business. If you are unable to raise the required sum through other means it may be tempting to sell off your structured settlement payments to one of the plethora of structured settlement companies out there. Before you do so, however, there are a number of things you’ll want to bear in mind.

Firstly, many states actually have restrictions regarding the sale of structured settlements. Therefore, you may not be able to sell them even if you want to or need court approval first. Moreover, the terms of your settlement may not allow such a sale either. Even if it is possible to your sell your structured settlement, you need to realize that it is quite likely that you’ll lose money in the long run. Structured settlement companies are out there to make a profit and so the offers they make to you may be quite low. Yet another drawback is taxes. While you are receiving payments from a structured settlement plan, they may be tax free. However, as soon as you sell them, the amount that you sell them for may well be taxed.

If you are currently eligible for a structured settlement but have not yet entered into a formal agreement, we strongly recommend that you look into prearranging its terms in a way that anticipates your future needs. It may be possible to set it up in a way by which you receive an initial lump sum followed by periodic monthly or yearly payments or receive lump sum amounts at some future point in time. A competent lawyer can help with this. Sadly, if you are already in a binding agreement and did not do this, you won’t be able to change its terms and now request a lump sum from the paying party. If you find yourself in such a situation and you must sell your payments, be sure to contact an attorney and have him review the terms of any agreement that’s on the table and ensure your rights and interests are protected. Your attorney will also be able to tell whether the amount you will receive is fair. We also recommend that you shop around until you find a company willing to pay you a competitive price. Make sure they are well reputed and well-funded so that you in fact receive the payment you are due. Contacting a tax professional is also a good idea to figure out if there are ways you can reduce the amount you will need to pay.

There are many drawbacks to selling structured settlements but if you find yourself in a situation where you must do so, we hope you find the advice in this article to be useful.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


14
Jul 11

Structured Settlement Benefits

A settlement paid in such a way where the defendant, the plaintiff’s attorney and a financial representative agrees of paying a settlement in installment instead of paying a huge amount at once is called a structured settlement. This usually happens when a plaintiff decides to settle the case through a large amount of money. Most of the time, a structured settlement is done by purchasing one or more annuities that guarantees the future payments needed to be made.

A structured settlement can be paid depending on whichever schedule the parties choose. The settlement can be paid through annual installments for a number of years, or it may be paid in regular lump sums every couple of years.

One benefit of having structured settlements is the ability to avoid taxes. With a proper set-up, a settlement like this can significantly reduce the plaintiff’s tax obligations as an offshoot of the settlement itself. There are even cases when it becomes totally tax free.

A structured settlement can also protect the plaintiff from losing settlement funds intended to pay for future care needs. Sometimes, structured settlements can also help protect the plaintiff from himself especially if he or she is not good in handling money, or does not have the capability to say no to relatives who want to “share the wealth.” Almost always, a large settlement is rapidly exhausted without the plaintiff knowing.

People with structured settlements are usually approached by companies who are interested in buying the settlement. Some are just plain curious if you have the intentions to sell your structured settlement in exchange for a lump sum buyout. Almost two thirds of the states apply different laws regarding this matter – some prohibits people to sell structured settlement and tax free settlements are also subjected to federal restrictions as far as the sale to a third party is concerned.

Some insurance companies also implement a policy of not assigning or transferring annuities to third parties as well as discouraging the sale of the settlements. However, depending on your location and the terms of your annuities, it is still possible for you to sell structured settlements if your state allows it.

Always keep in mind that companies who buy structured settlements from people have only one goal – to gain profit from their purchase, that is why sometimes their offers are a bit low. You can however try approaching more than one company if you wish to sell a structured settlement, just to make sure that you get the highest payoff.

Make sure that the company who wants to buy your settlement is well established and well funded. You do not want to trust your money to some fly-by-night company disappearing or going bankrupt even before paying you the buyout amount.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


6
Jul 11

Selling your Structured Settlement Payments: Skip the T.V. Hype

We all face financial difficulties in our lives at one point or another. However, not all of us have the option of selling our structured settlement payments for a lump sum to cover short term gaps. Do you want cash for your structured settlement? Brokerage companies, also known as factoring companies, want to trade you lump sums of cash for your future annuity payments. If you are looking for money, want it now, and are willing to lose long term money, for that lump sum payment, structured settlement companies might be for you.

There are some very important financial matters that you should be aware of. If you do need money for your structured settlement payments, realize that you will be transferring ALL of your future earnings to the brokerage company.

You can see commercials for structured settlement payment transfers on TV all the time. They are making a boat loads of money in this business. Most cash for structured settlement brokerage companies do business ethically, you should keep in mind that they want your money. Every interaction you have with them is designed to get your payment rights transferred to them. So, no matter how friendly the people might sound on the phone, they’re NOT your friends. They only want your cash.

So unless you’re in dire straits or you absolutely need the money or the house will be foreclosed ” or some other life shaking event ” in is in your best interest, financially, to take the slow drip payments.

Structured settlement and annuity companies profit by giving working class people like you large lump sums of money that are, sometime extremely, smaller the discounted face value the payments.

Because of abuse by some structured settlement companies, you are now guaranteed favorable tax treatment if you do decide to transfer your structured settlement payment rights. However, the laws governing these practices don’t always guarantee your protection. For this reason it is often advised to seek professional financial advice from someone that has no vested interest in your final decision prior to completing the sale.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


6
Jul 11

Selling Your Structured Settlement Payments & Long Term Considerations

If you need to get cash by selling your structured settlement payments, there are some important matters that you should be concerned with. The long term cost of selling your structured settlement for a lump sum payout are substantial. Most people don’t take these costs into consideration and only focus on the immediate impact of a large cash windfall.

If you finally do decide to go with a structured settlement brokerage company this what you need to know about the law.

If you’re in a lawsuit, some services “offer” you the ability to “sell” your structured settlements to them. In exchange, they provide you with a lump sum of cash in the event you need this type of financial resource.

Laws do protect consumers from brokerage companies that are unscrupulous. Most often, the settlement agreement also specifies a non-assignability clause. Basically, this is unenforceable, though.

Some of the purchase agreements require the consumer to stipulate to a host of provisions which severely restricts consumers rights and raises questions as to their basic fairness. To forestall suit, however, the contracts often require the consumer to defend and hold harmless the purchasing party in any lawsuit.

The price terms usually unfair. Summary accounts show that some sales are completed with a 12 percent or 15.8 percent discount rate, but other sales have been completed with a rate as high as 55, 65, and 75 percent. In addition, since the discount rate is always calculated on the purchase price which includes brokerage and other expenses “agreed” to by the seller in the contract, the real discount rate and cost of the transaction to the seller is artificially depressed. Moreover, there is no requirement to disclose to the seller, in understandable terms, the total fees of the transaction. Given the unfairness of some of the transfer agreements, consumers need protection from factoring companies that take unfair advantage.

Some say that structured settlements give financial protection that’s sorely needed to severely injured victims, so that they are protected from having their benefits prematurely dissipated; periodic payments are tailored to the medical and living expenses of the victim and the victim’s family, and it avoids shifting the responsibility for the victim’s care to the social safety net financed by taxpayers. These same people say that factoring companies that purchase future structure payments for sharply discounted lump sum payments are dramatically on the rise. This means that the structure is taken out of the structured settlement, in that the injured victim enters into this with a third party, thus going completely outside of the structured settlement without knowledge of any other parties involved in the structured settlement itself.

According to industry watchdogs, the unscrupulous side of the structured settlement factoring business is rapidly growing. One company announced that it has undertaken more than 7,700 structured settlement purchase transactions with a total value of $370 million. During the first nine months of 1997, the same company undertook more than 3,700 structured settlement purchases paying $74 million for $163 million of structured settlement payments.

What that means is that the long-term financial security and careful planning so painstakingly set up to take care of the needs of the injured victim and his or her family are being tossed aside. This is all because factoring companies offer quick cash at deep discounts for future structured settlement payments — but at what cost? Once these victims have given away their only source of assured future financial income, they may indeed have to go on public assistance to cover future basic living expenses and medical expenses — even though this is what the structured settlement plan was set up to avoid.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


6
Jul 11

Structured Settlement Selling: What Are Your Needs?

There is no doubt that selling your structured settlement payments can help get you out of a tight financial situation. If you or a loved one are receiving structured settlement payments or you are expecting to receive settlement payments there is a good chance that you are considering the possibility of selling structured settlement payments for one lump sum of cash but is selling this guaranteed income stream the right thing to do. As in most financial decisions, there is no single answer as everyone’s situation is unique. There are however, a few things to you should think about before making this important financial decision. Here are three important ones to keep in mind.

1. Structured settlements are usually a result of an injury from an accident or medical malpractice that made you unable to continue to work. Unfortunately, for some recipients the payments are insufficient to cover their normal costs of living. In these cases seeking a lump sum payment may be the only real choice. However, it’s vitally important that you keep in mind that a lump sum will only cover you for a period of time. Once the lump sum is gone, you may be without any income or have limited income from Social Security disability. If you are in this situation and decide to take a lump sum for your payments, you should a) Create a monthly living expenses budget and adhere to it so as to be sure your lump sum of cash lasts as long as possible and b) Take a portion of the lump sum of cash for re-training in a job that you can physically handle or to start a home business. This way you should have enough monthly income to cover your monthly living costs.

2. If you are fortunate enough to not have to sell a structured settlement in a lump sum but are still considering selling your structured settlement’s payments, you need to determine if the future value of your periodic payments is worth less than a lump sum of cash in the present. You will need to get a lump sum quote for the payments so you can compare the two. Effectively, this comes down to what you think inflation will be over the remainder of your payments. Be aware of the government’s inflation numbers, as the core rate of inflation does not include items like food and energy because of their volatility. However, these costs of living are very real for every one heats a home, buys gasoline for their car or goes to the grocery store to buy food.

3. Lastly, if you are considering taking a lump sum to make a very profitable investment or pay down debt, you will need to analyze the expected return versus the fixed income from your structured settlement’s payments. You may want to consult a financial professional to help you figure out these two options.

Selling structured settlements can be a stressful event. Try and use logic and hard financial analysis to help you with this critical decision. Down the road, you’ll be happy you did.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.


6
Jul 11

Structured Settlement Sales: Considering our Economy

At some point of time, it may happen that you’re in need of urgent cash to pay off your debt obligations. During this strained financial time in the US, there are very few people who earn huge amount of money and are satisfied with what they are. If you’ve opted for debt settlement to make debt more manageable and not got much desirable financial results, you might get money by selling off your structured settlements. There are many companies that will offer you with a lump sum amount of cash in lieu of the structured settlements. The sale of the structured settlement payouts are regulated by the US law and more than 40 states in the US abide by this law thereby making the process of selling more authentic. If you’re unaware of the entire process of selling your structured settlements, here’s help for you. Read on to know some important questions those are mostly asked by people.

Is it really necessary to sell off your structured settlements?

While some people are content with the amount of money that they get monthly and annually, there are some others who need more money to pay off their surging medical bills, utility bills or unpaid credit card bills. If you’re someone who is confused about whether or not to sell off your structured settlements, you must consider taking a decision in accordance with your changing financial needs. The options that you have will also depend on the state laws where you live.

Is it legally right to sell off your structured settlement?

Unless there are no stipulations in the settlement agreement about you not being able to sell them off, it is always legal to carry on such transactions. You must make sure that you read all the details of any proposed agreement that is offered to you. Remember that you’re not obligated to repay the amount and therefore you may feel free to compare the rates that different structured settlement companies are offering you.

How much will you need to pay to sell off your structured settlements?

You need not worry about having to pay any money while selling off your structured settlements. This is for you to know that no structured settlement company will charge you any kind of advance fee before you begin the process of selling your structured settlements. If you agree to sell off your settlements, the processing fees and other legal entities will require being fully disclosed. If such fees are to be taken, they have to be deducted from the settlement amount that you get.

Is it necessary to pay taxes on the payments of the structured settlements?

As you know that taxes are a part of life, they will be deducted from any income that you and your household earn. Within a given tax year, if you receive any payment by selling off your structured settlement, you need to pay taxes on it. It is always wise to figure out how this added payment will affect your present financial situation.

Thus, if you’ve incurred debt and not got much positive results from debt settlement, you can sell your structured settlements in exchange of cash. You can utilize the proceeds in paying off your multiple financial obligations and lead a debt free life.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your structured settlement sales.


6
Jul 11

Selling Your Structured Settlement: Considering Future Value

Though structured settlements are primarily meant to be a method of payment of personal injury compensation, they can also provide a financial windfall for those in need of quick cash. They are intended to provide long-term stable income for claimant and cover medical and life costs. Instead of receiving one big lump sum, which can be more of a burden than a solution, claimant will receive regular monthly or annual payments. This provides greater financial security and ensures that claimant will have funds to provide for him self. So, why would you want to sell your structured settlement? Let’s read more to get a better idea of what we mean.

Even though they are an excellent way of settling personal injury cases, structured settlements have a few disadvantages. Before they are signed, they can be shaped in almost every form, whether it is annual payments, monthly, bi-monthly, or any combination of the above.

You can arrange for every tenth payment to be larger than regular ones, if you need to do so. In that sense, structured settlements are very flexible. However, once signed, they might as well be set in stone for that matter.

Not one letter can be changed. This aspect of structured settlements can be unfortunate; considering life does not always goes as we planned. You may find your self in a situation where you need substantial amount of cash, whether is that down payment for a new home or college tuition. Sometimes the only solution is to sell your structured settlement.

There are plenty of companies on the market that specialize in buying structured settlements. They all offer different terms so it is a good idea to ask around a bit before actually selling. The basis principle is the same with all of them. You sell your future income for the lump sum paid to you today. If you have decided to sell your settlement, one thing must be clear to you.

You will not get as much money as you would from your original settlement. The difference between what you get and the amount of settlement is a profit margin for the company. Be careful when weighing your options. Is the difference worth getting your money today instead of in 5 or 10 years? If the answer is yes, then you should sell your structured settlement.

One other thing to consider is inflation. A one hundred thousand dollars in 1980 is not a one hundred thousand dollars in 2010 or in 2030. Money loses its value over time and the longer you wait, the more value you will lose. All these factors are important when deciding to sell your structured settlement.

If you need help selling your structured settlement, annuity or lottery payments,
contact us today. We are here to answer your questions and help you obtain the
highest possible price for your payments.