News and Tips on structured settlement transfers.


Structured Settlements

Dec 13

An Alternative to Receiving Monthly Structured Settlement Payments

Many people receive structured settlement payments as part of an agreement from an insurance company as a result of an accident or medical malpractice. Usually, the cash payments are received for a specific period of time, on an installment plan. Typically the claimant will receive monthly payments instead of as a lump sum or flat rate.

Often considered a long-term contract, structured settlement payments are designed to offer financial security for the long haul. It provides a source of funds to pay medical bills, living expenses and/or medications. The logic behind issuing structured settlement payments is the assurance that it provides the receiver that they will have the money they need in the future. Often times, the insurance company will provide an annuity with a specific dollar amount paid up front that will produce monthly payments to the beneficiary.

Payment Options

There are numerous options for structured settlement payments other than just receiving a monthly check. The payment schedule can be set as a single annual amount provided to the beneficiary, or a more complex arrangement with special provisions or deferred payments.

The downside of agreeing to structured settlement payments is the limitations and restrictions placed on the beneficiary. Once the court order agreement has been accepted, the terms cannot be changed at a future date. Because of that, it is imperative that the claimant uses the skills of a competent attorney to negotiate terms that meet his or her needs.

Selling the Structured Settlement

Once the beneficiary begins receiving structured settlement payments, he or she can sell the annuity for a lump sum cash amount. The agreement to sell the structured settlement can be designed to only sell a portion of the annuity and allow the beneficiary to continue to receive reduced monthly payments. This option is usually preferable to individuals that require more income than what is provided by the structured settlement.

Dec 13

Use a Settlement Calculator to Determine Value of Your Settlement

Those who are in structured settlements are going to be receiving installment payments over the course of a certain period. The length of time of the settlement can vary, as can the amount of the payments. Many factors contribute to this, and the actual value of that settlement can even vary over time due to things such as inflation. Those who are trying to get a better idea of how much their settlement is worth should use a settlement calculator to get started. This can give them a better idea of the value of the settlement, and it can help them to determine if selling the annuities is the right thing to do.

Finding a settlement calculator online should not be much of a challenge today. Plugging in the numbers, including the number of payments left on the plan and the amount of those payments, can help to give you a better idea of what it is worth. Of course, you have to consider other things as well, such as any applicable discount rate. It might be a good idea to input your numbers into several calculators just to make sure that you are getting the actual value.

Knowing the amount that you have remaining can help you determine whether you might want to sell for a lump sum. Try to find a firm that is going to be able to offer you the best deal possible on the amount of money that you have remaining. Always take the time to consider just how much money you need right now to take care of your financial problem. Instead of liquidating all of the payments that you have coming, you might find that you only need to liquidate a portion of them. Use the calculator to determine how much this would be.

Nov 13

Find the Best Annuity Buyer

Most of the time, an annuity is going to be a relatively small payment given yearly, or monthly with the case of some types of settlements. Having that money coming into your pocket each month can be nice, but sometimes, it just is not enough to take care of all of the emergencies that can crop up. Medical expenses, home repairs, and other issues could all cause huge problems in your life if you do not have the money to pay for them. Those who are receiving payments do have another option though.

You could consider finding an annuity buyer that would be able to purchase the payments from you and provide you with a much larger payment. This can be quite valuable for those who need to have money right away. However, you need to make sure that you are working with the best buyer possible and the right one for your needs. One of the things that you have to remember though is that if you do choose to sell the annuity, it could have some tax implications. Make sure to consider those when selling, and talk with a professional about how it could affect you and how you might need to claim them on your taxes.

Take your time to find a reputable annuity buyer who can work with you. Look at the offers from a couple of different companies so that you can be sure you are getting the best deal for the annuities you are selling. Get a number of quotes from those companies and research the companies to see how long they have been in business and what other users have to say about them. The more research you do now the happier you are going to be later. Find the buyer that is right for you.

Nov 13

Why Lump Sum Payments are Avoided by the Courts

Injury due to the negligence of an individual or company may entitle you to a monetary settlement to help ease pain and suffering, and provide you with the means of paying off your expensive medical or legal bills. When you go to court, a judge will hear both sides of the case, weigh the facts carefully, and then make a decision based on the information gained during the court proceedings. This can often result in an award of a very large sum of money. And though it would be nice to get all that money in one whack, chances are good that it won’t happen in quite that way. Many times, judges simply won’t award money in a large lump sum.

Cause and Effect

Most of the time, a court will avoid paying out these large sums at once because of the effect it can have on a defendant’s financial situation. A huge lump sum, paid all at once, can ruin an individual and put companies out of business, affecting not just one person, but many, many people negatively. This can also prevent you from ever collecting the amount owed you through the settlement.

Advantages of Structured Payments

Though it can be good to get your money in a lump sum payment, there are benefits for courts who avoid handing out large settlements in one lump sum. By setting up a structured payment plan, courts can be assured you won’t blow through your award in a very short time, guaranteeing you a reliable income that can sustain you for the long term.

Another Option

If a court does decide that structured payments would be better for you in the long run, you still have an option if you feel you have a definite need for a lump sum cash payment. There are companies who will buy your settlement for a percentage (selling your settlement or annuity will never get you the full amount of your award), granting you access to more of your money than you would normally receive by monthly payments.

Facing these challenges is always better with a trusted and honest broker to assist you when starting the process of selling your settlement. Utilizing a broker can give you the advantage you need to keep yourself on a solid financial footing, and give you what you need in order to move ahead with your dreams and goals for the future.

Nov 13

Is a Structured Settlement Annuity a Good Idea?

Most of the time during an injury settlement, the injured individual is simply not going to be able to see all of the money from a large settlement at once. The injured party and the insurance company who will be paying out the settlement for a fixed period. The payment terms for the settlement can vary. In some cases, they may last the entire lifetime of the claimant. They payments from a structured settlement annuity aim toward providing long-term financial care for the claimant. This means that it is very important to make sure that the annuity provider is reputable and has the proper credentials.

In some cases, the payments are monthly, and in other cases, the payments will be yearly. It all depends upon the terms of the agreement. It is generally going to be preferable to choose annuity payments rather than have the entire lump sum handed over all at once.

First, when someone receives a large sum of money all at once, he or she tends to overspend. Perhaps they’ve struggled at other points in their life and finally have the money to be able to buy the things they’ve wanted. This is an easy road to disaster. One of the other big reasons to choose a structured settlement annuity with payments is that with the lump sum, the claimant will not receive the full amount. It is possible to sell future annuity payments, but you will not always receive what they are worth. It is possible to find some quality companies that will offer to buy the annuity payments though.

Those who are in a position to receive a structured settlement annuity should always take the time to talk with a qualified attorney about the pros and cons. The attorney will be able to guide them through the settlement process to ensure that they are making the best decisions along every step of the way.

Jun 13

The Risks of Buying a Structured Settlement

With the economy in the shape it is in, and rising needs for access to lump sums of money, sales of structured settlements are on the rise. While many like the advantage of a regular, steady income afforded by structured payments, some have a need for a larger sum of money that is usually paid through these settlement payments. And even though the sellers take some risk when selling their payments, the buyers have a few risks of their own.

Judge’s Decisions

The court process is one of the many risks involved for buyers. Selling an annuity or structured settlement payment is not a quick and simple proposition. A judge will look at each and every offer to determine if it is fair and legal. Buyers always have the risk that a judge will immediately deny the transfer of the settlement or annuity. This outcome is likely, as all decisions on the matter are of the sole discretion of the judge.

Laws and Regulations

In order to sell a settlement, a definite need on the part of the seller must be proven to the judge’s satisfaction. Many judges, for example, won’t consider buying a second home or taking an expensive vacation as a crucial need that dictates selling a settlement. Many states have laws that make examining these deals mandatory, to ensure they are in the client’s best interest and not the result of pressure from a predatory company.

Don’t be so Hasty

Selling a structured settlement is not as easy as some late-night infomercials may lead you to believe. The truth is it can take 30 days or longer for any arranged sale of a structured payment or annuity to come to completion. It may even take longer, if factors such as payment type, payment amount, needs of the payee, and judicial jurisdiction come into play when trying to make a deal.

When it is all said and done, buyers of structured settlements and annuities are at just as much risk when completing a deal as the seller. Whether you are a company seeking to purchase a settlement or annuity, or a seller who needs a lump sum of cash to meet a sudden financial hardship, a settlement broker can help things move along smoothly and without hassle. With the experience a knowledge needed to help these deals work smoothly, a broker can bring satisfaction to both parties.

May 13

Reputable Companies Offer Cash for Structured Settlements

Every day there are individuals that receive a structured settlement annuity as their award in a civil lawsuit, as a result of injury or damages incurred at the hands of another. Many times, the annuity is payment for misconduct, negligence, or medical malpractice. Sometimes the amount of the monthly annuity payment is not enough to cover the expenses of the claimant, who might have to seek cash for their structured settlement as a way to survive.

Awarding a Structured Settlement

Courts often accept structured settlements as the method for paying the award. To the judge, it might offer significant advantages to the claimant in that it provides a monthly payment to meet living expenses, pay for education costs or even offer retirement income. Sometimes, it works as an effective tool to minimize the ability of the claimant to spend the bulk of the award in their early years, having no funds left as they age.

Terms and Conditions

The problem with agreeing to the terms and conditions of a structured settlement is that it cannot be changed, deferred, increased, decreased, or accelerated. Any time the claimant’s life changes, he or she is still stuck with the original arrangement of the structured settlement annuity. When this happens, many claimants seek ways to find cash for structured settlements they own.

There are numerous reputable companies that eagerly pay cash for structured settlements. However, before selling, the claimant or beneficiary of the annuity should determine exactly how much cash they require. The full amount of the structured settlement does not have to be sold, as companies are eager to purchase even a small portion of the annuity.

Once the determination has been made on the value of the structured settlement, an offer or quote will be made. It is advisable to obtain at least three separate quotes from different companies that offer cash for structured settlements, to ensure the beneficiary is receiving an adequate amount.

May 13

A Lump Sum Settlement Offers Peace of Mind

One of the biggest benefits that a lump sum settlement is going to be able to offer is peace of mind. Those who are in need of money quickly will find that having the ability to receive the money all at once is going to take a huge weight off their shoulders. Being able to pay for emergency dental work, car repairs, educational expenses, and other emergencies is going to be very beneficial.

Most of the time, it is not going to be easy to get a lump sum settlement right away, and you will have to talk with other financial institutions and specialists after you are in a structured settlement agreement. If you need to do this, you have to take the time to research those institutions to make sure that you are working with a company that has a good reputation and that will be able to provide you with the help you need at a fair price to you. Take your time to compare the offers from different companies so you can be sure that you are dealing with the best.

If you decide that you are going to sell your annuities for a lump sum, you do need to be careful with the money that you receive. It is always a good idea to have a solid plan in place for the money that you are going to receive. Those who come into a large sum and who do not have a plan will often tend to spend much more than they should, and that could lead to further financial problems in the future. Instead, you are going to want to make sure that you spend only on your current emergency or need, and then place the remainder of the money into a savings account or an investment.

May 13

If you are on a Structured Settlement, is it Possible to Get an Advance?

Structured settlements are commonplace in America, and there are billions of dollars currently being distributed through structured settlement programs. Though they have certain advantages, they are not without their drawbacks as well. In many cases, a specific amount of money from the settlement is paid each month over a long period of time. Once the terms of the settlement are agreed upon, however, you can’t increase the frequency of payments or the amount of money received on each payment cycle. This leaves many people who receive these settlement payments, but who are also suffering through difficult financial times, to wonder if they might be able to get a cash advance.

No Simple Answer

The answer to that question is: yes, it is possible to receive a cash advance on a structured settlement. Though a cash advance can help relieve some of the hardship immediately, and may seem like a simple solution to financial troubles, there is more to the story than simply applying for an advance.

The Truth of it All

Any time you consider receiving an advance against your structured settlement payments, you need to understand the reality of the situation. Basically, you’ll be selling a portion of your settlement payments to a buyer, in exchange for a lump sum of cash. It isn’t required that you sell your entire settlement to get a cash advance. Selling only part of the settlement is the norm, though you certainly can sell your entire settlement as long as the necessary legal requirements have been fulfilled.

Important Information Regarding Cash Advances

There is some important information you need to know if you’re considering a cash advance on your structured settlement. First, it’s hard to arrange a cash advance without the help of a qualified structured settlement broker. It’s not as easy as selling items in a yard sale, the buyers of structured settlements aren’t going to come to you; you will have to seek them out. Not only that, you’ll also need to make sure that they’re a reputable company that adheres to both federal and state laws pertaining to the sale and transfer of structured settlement payments.

Though there is a way to avoid doing all of the work on your own, and get structured settlement buyers to meet with you on your own terms. A reputable and knowledgeable structured settlement company will ensure that you have the help you need to simplify this process and remove the stress and confusion many people feel when arranging for a cash advance.

It is possible to get an advance on a structured settlement, but you’ll need the help of an experienced broker to make sure the process is a fast and pain-free as possible.

Apr 13

Who are the NSSTA

The National Structured Settlement Trade Association is the authority in the world of structured trade settlements. If you receive or are about to receive a structured settlement or annuity, then knowing about this organization and what they represent can be very important to you and your financial situation. They have a major role in the industry, and understanding what they do is vital for anyone about to begin a settlement payment plan.

The Beginning

The National Structured Settlements Trade Association was established in 1984, after landmark changes to the United States Tax Code made structured payments and annuities much more prevalent in society. The organization was created to help benefit individuals working within the structured settlement industry, including attorneys, consultants, insurance professionals and others. Currently, the organization represents almost 1,200 members across the nation.

Honest and Dependable

The National Structured Settlements Trade Association is founded on the principles and ideas of honesty and integrity. They strive to provide the most competent, fair and honest services they can to all clients who are about to begin the process of attaining their structured settlements. Dedicated professionals, they provide confidentiality for all their members and everyone they represent.

Noteworthy Benefits for Their Clients

The National Structured Settlements Trade Association offers certain advantages to the people who understand the benefits they offer. Any private citizen or organization that might be entering a structured settlement agreement can get peace of mind, integrity and security by knowing about and taking advantage of these benefits. But how exactly do they provide these types of benefits and advantages to their clients?

Knowing what to look for when you decide to sell your settlement or annuity is perhaps the most important thing for you to know. Working with a broker when you decide that you would prefer a lump sum payment over a regular settlement payment can help you get many offers that might be right for you, and enable you to compare them and their companies to find one that is best for you. A broker accredited with both the NSSTA and the BBB will ensure you are getting the best brokerage assistance, assistance that is knowledgeable and reliable.

The NSSTA, and their team of experts, can ensure you’ll integrity and excellence of service if you will be dealing with any of the inner workings and processes of a structured settlement plan or annuity.

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.

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