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.
