The old saying is that anything that can go wrong, will. No matter how careful you’ve been with the sale of your structured settlement, the unexpected can derail your transaction. Here are some things to be aware of.
Not So Fast. Don’t let any structured settlement buyer promise to turn around your sale in less than 45 days. All states have a process for structured settlement factoring transactions, and 45 days is an absolute minimum. Some states can take months. If you need your money in a couple of days, it is too late to consider selling your structured settlement.
Change of Plans. Structured settlement buyers are in business to make a profit, and may change their minds if they decide buying your return isn’t in their best interest. For example, some buyers will put a generous offer out there to get you to bite, only to cut it down later, or decide they don’t want to sell after all. Be prepared to resist high pressure to get you to accept a subsequent offer much lower than the first, or the addition of new fees that you didn’t agree to.
Delay. When you checked out prospective buyers of your structured settlement – and hopefully you did this by checking the Better Business Bureau – you may have noticed that other sellers complained that buyers intentionally delayed the process. This happens when a buyer is trying to manipulate the return on his investment. If you find that the buyer is having unexpected delays or not communicating with you, consider other options.
Sorry, We’re Broke. Believe it or not, some unscrupulous structured settlement buyers have entered into contracts to buy structured settlements, followed the process all the way through, only to claim that they were broke when it was time to pay up. If this is really true, an honorable structured settlement buyer will release you from your agreement, but these bad guys won’t. There’s no crystal ball, but your vetting of structured settlement buyers should lead you to the Better Business Bureau, and you should look specifically for complaints of this nature.
The Court. All states have a structured settlement factoring transaction process which typically includes approval by a judge. You may even have to appear in court to talk about why you need the money and why selling your settlement is the best option. Even so, if the judge decides that the transaction is not in your best interest – usually because the discount rate is too high for his liking – he can nix the entire deal.
The final show-stopper is you. All states provide for a cooling-off period in which you can change your mind about the transaction. So if, even after all that work, something just doesn’t seem right, you can walk away.
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.
