Many individuals are seeking cash for structured settlements received as a result of winning a lawsuit. While they are grateful for getting timely annuity payments, the amount of money received every month is not enough to cover expenses and pay down medical bills. They find they need additional funds and wonder if there is any way they can get cash for annuity payments through settlement buyers.
Reputable structured settlement buyers will offer quotes or bids on the value of the remaining payments of any annuity. Through competition, they will offer top dollar for any valuable structured settlement annuity payments and provide a lump sum of cash when the offer is accepted.
Determining Value
Any beneficiary currently receiving monthly, quarterly or annual payments through a structured settlement annuity can convert the value of all future payments into a lump sum of cash. Typically, settlement buyers calculate the value of all future payments paid by the annuity and offer a specific percentage based on the considered worth.
Through due diligence, selling structured settlements for cash can be accomplished within a few weeks to months. By obtaining at least three bids from reputable companies (settlement buyers), any beneficiary of an annuity can receive quick cash to overcome any financial hardship. Different companies offer varying rates on the percentage value of all future payments including their principal and interest.
A Portion of the Total
Not many individuals that receive structured settlement payments realize they have the option to convert a portion of the total worth of annuity. If the beneficiary wants to continue receiving monthly payments they can easily sell off a small or large portion of the annuity’s worth. This option will still provide monthly financial security, in a smaller amount, along with receiving a lump sum of cash.
The Process
Once the process to sell annuities has begun, the amount of time it takes to receive cash can vary, but it usually takes approximately 60 to 90 days to complete. Applications to get cash for annuity payments are usually accepted by phone or online from most reputable settlement buyers. The entire process will include:
- The Policy – The settlement buyer will want a copy of the policy detailing all pertinent information.
- The Agreement – A copy of the settlement agreement along with the judgment and release will also be required to show the exact order from the court.
- Verification of Payment – The settlement buyers will want to see the most recent check stub, check or direct deposit verification, indicating payments are being made.
- Identification – The beneficiary will need to provide two clear photo ID forms of identification.
- Additional Paperwork – If applicable any marriage license, divorce decree or bankruptcy discharge will need to be provided.
Once all the paperwork has been received, a Disclosure & Transfer Agreement will need to be signed after it was reviewed by the beneficiary. Sometimes, the transfer of a structured settlement might require approval by the court, based on state law. Once the judge has ordered the transfer, the lump sum of cash will be issued to the beneficiary.
Making an informed decision to convert structured settlement annuity payments into a lump sum of cash requires patience, and due diligence. Working with a reputable structured settlement purchaser can simplify the process and allow the beneficiary to receive the highest dollar amount possible for their annuity.
With cash in hand, the beneficiary can pay off medical expenses, perform home repairs, avoid foreclosure, purchase a car, pursue education or use the money to help overcome any and all financial struggles. Because life’s circumstances continually change, it makes sense to convert a structured settlement into cash whenever it is necessary.