Selling Structured Settlements
Selling Structured Settlements ::: https://urlgoal.com/2tk9lc
As you can see, we are a bit biased and believe that we are the factoring company that best serves the needs of customers. However, the other listed companies have been in business for years and are worth contacting so that you can secure competitive offers for your structured settlement.
We do not rank other companies that buy settlements or include their reviews because the company that is best for you may not be the best for other annuity holders. Here are some of the things to consider when contacting a factoring company:
Larger settlements tend to be paid out over time as it may not be economically feasible or preferable for the paying party to pay the entire amount at once. Structured settlements also tend to be preferable when the payee is not experienced at managing large sums of money. By breaking up the settlement into monthly payments, it is less likely that they will spend large sums of money irresponsibly.
Once the payee chooses to receive their payout via a structured settlement, they can choose for them to begin immediately or defer them until a later date. For example, the payee may want to allow the funds to grow as an annuity and begin withdrawal at retirement. Also, the payments can occur periodically for the life of the payee, or they can be paid out for a set number of years.
Disclaimer: The information found in this article is general in nature. If you are considering selling your structured settlement, it would be in your best interest to consult with a financial advisor or attorney who can help you make an informed decision when cashing out. While people who need more money may find it difficult to afford attorneys fees, perhaps you can work out a reasonable rate with a small legal office.
Website: annuity.orgAddress: 189 S. Orange Ave,Suite 1600Orlando, FL 32801Annuity.org is a free, comprehensive web resource that offers professional insight from experienced financial experts on a variety of financial topics, including carefully researched, timely information about annuities and structured settlements, to help their visitors make smart decisions about their money. The aims to protect and educate consumers by guiding them through the settlement process, including by proving quotes from insurance companies.
DRB Capital is a privately held company founded in 2007 and headquartered in Delray Beach, FL. They purchase structured and life-contingent structured settlements for one lump sum of cash. The company offers several different options to exchange your structured settlement or annuity payments to receive lump sum cash (selling all of your future payments, or only some of them, so that you can continue receiving payments down the line).
Since entering the marketplace, we have provided financial security through structured settlement annuities for the claimants of a variety of lawsuits. Clients look to us for our expertise and ability to create customized, tailored solutions.
A structured settlement is an agreement between a claimant and a defendant under which the claimant receives a settlement award in the form of a stream of periodic payments. A structured settlement may be agreed to privately, in a pre-trial settlement, or may be required by a court order, which often happens with judgments involving minors.
A structured settlement is a one-time opportunity to settle a personal physical injury claim, including wrongful death, with tax-free benefit payments.2 It is tax-free based on Section 104(a)(2) of the Internal Revenue Code. By contrast, the investment earnings on a lump sum payment are usually fully taxable.3
Consider the difference between a lump sum settlement of $500,000 versus purchasing a structured settlement annuity. The settlement, when used to purchase a 30-year certain and life structured settlement annuity with $500,000 for a 21-year-old male, will provide $1,772 per month and a total guaranteed payout of $637,960. If the claimant lives to life expectancy, the total payout would be $1,242,249.
In the U.S., this practice spread to encompass structured settlements. In this context a claimant would sell his or her right to receive future periodic payments in exchange for immediate cash in a substantially discounted amount.
D.C. residents can apply to Legal Aid for assistance. We offer free advice about structured settlement transfers to people with low household income. A Legal Aid lawyer can help you understand your structured settlement rights, whether your deal is fair, and may even be able to help you negotiate better terms. To apply for assistance, call 202-628-1161 from 9:00 to 5:00 on Mondays, Wednesdays, or Fridays. Or you can apply online at
Structured settlement annuities are excellent options in personal injury lawsuit cases because they are tax-free and guarantee income over time. However, structured settlement agreements are final and will not allow for unplanned changes. In these cases, many structured settlement payees choose to sell part or all of their annuity in exchange for a large, cash lump sum.
Once you decide to sell your structured settlement payments to CBC Settlement Funding, your personal customer representative will review available options and assist you in selecting the best one for your needs. Our quotes are free and no-obligation. Should you decide to move forward with the selling process, our representatives will prepare the necessary paperwork for you to complete. The documents you will need to sign and file with our lawyers include your application, identification, annuity contract, settlement agreement and benefits letter.
CBC Settlement Funding makes selling a structured settlement annuity easy, but the process is still a legal transaction. For this reason, we always recommend our clients confer with their attorneys before moving forward with an annuity sale. If you have an accountant or tax professional, we also recommend our clients seek advice from these professionals.
Your attorney or accountant can lend an extra layer to the proceedings, as they know your individual situation and can help ensure selling your structured settlement annuity is in your best interest. The nuances of selling annuities also vary from state to state, so your attorney or accountant will be able to answer any questions about selling your structured settlement in your area.
When you sell some of your future payment rights for a cash lump sum payment, you are transferring the rights to those future payments to a third party otherwise known as a factoring company. This is known as a Structured Settlement Transfer (SST) or structured settlement factoring transaction.
A factoring company such as CBC Settlement Funding will provide the annuitant or payment recipient with cash today in exchange for a certain number of future payments. For individuals who find structured settlements too restrictive, having the flexibility of accessing their future money now is a viable option.
Other requirements for a structured settlement sale are set forth under the Internal Revenue Code. Beyond this, however, there are no particular requirements or qualifications that one must meet in order to engage in this type of transaction.
When you sell your future structured settlement payments to a factoring company, they will determine the present value of your payments using a mathematical equation. This equation uses number of years, interest rates as well as inflation rates to make that determination.
Consulting with an attorney or financial advisor about the sale of your structured settlement is a smart move. It also gives you a chance to ask questions and clear up any doubts you may have about the process.
The factoring companies that buy structured settlements often have legal professionals on staff. Still, just as you might seek a second opinion after receiving a medical diagnosis, you also should review documents or questions with your own attorney before committing to a structured settlement sale.
There is another reason to have an attorney involved. Regardless of the circumstances or the nature of the structured settlement, the transaction will need to be reviewed and approved by a judge in a court of law. A very good reason for this is that structured settlement transactions that are not approved by the court are subject to a whopping 40 percent federal excise tax.
A structured settlement is a negotiated settlement of a personal injury claim in which the defendant agrees to make periodic payments to the plaintiff. And while the road ahead after a personal injury is difficult enough, a structured settlement can help ease the burden. New York Life, a mutual life insurance company, has a long history of providing financial security and peace of mind to its customers for over 175 years.
A structured settlement can be just the right solution during tough circumstances. After surviving the initial trauma caused by an injury, some face the prospect of never being able to work again. Many will need continuous medical treatment or funds to cover college expenses for their children. Whatever the situation, all face a life that has been altered. But with a structured settlement, you can gain peace of mind knowing you and your family have options during a difficult time.
A typical structured settlement involves the resolution of a personal injury or workers compensation lawsuit, which often takes the form of \"structured\" or periodic payments made to the injured party. The periodic payments are commonly funded by an annuity issued by an insurance company, and are often structured to provide a dependable stream of income and a degree of financial security to the injured party.
In a typical transaction, the recipient of a pension or structured settlement will sign over the rights to some or all of his or her monthly payments to a factoring company in return for a lump-sum amount. And the lump-sum amount that factoring companies offer will almost always be significantly lower than the present value of that future income stream. (Simply put, present value is the amount of current money needed to obtain the future stream of payments and is based on a periodic rate of return, such as an interest rate). 59ce067264