When you win or settle a personal injury case dealing with compensation in the form of a monetary settlement, you have choice of either accepting a lump sum payment given all at once, or opting for a specific number of payments, also known as a structured settlement, which is issued over a given length of time. The number of years will be decided upon and will be fixed. There are many ways to create a structured settlement from your lawsuit so that it can fit your needs. Some things to consider when speaking with a structured settlement professional are as follows.
- Do you wish to have a large first payment to offset the cost of bills that may have accumulated over the time of your case?
- Do you have additional payments will need to be augmented over time, such as college tuition or purchasing a new car? Structured settlements can be arranged to accommodate fluctuating expenses and can also, in some cases, provide supplemental income for a given period of time.
- Do you want to create a payment schedule where payments begin higher and get smaller over time or vice versa?
- Would you prefer to save all payments made to you until you retire or at some other pertinent time in your life?
While the process of selling or “cashing in” structured settlements can make for some tricky tax filing at the end of the year by the possibility of penalty incursion, they are also a very appealing option for some people because they actually are tax-free. Here are some factors to consider when embarking on this process.
Things To Consider Before Selling Your Structured Settlement
- Do your research. FundFirst Capital recommends considering discount rates and schedules of service on the sale of your structured settlement. Find a company that has a credible reputation and a solid number of accolades. Do not look for a company that is only a broker or does not have a good rating on the BBB.
- Once you have found the right company, begin the steps needed to complete this process. There is paperwork to fill out, including a settlement agreement, payment verification and a detail of your annuity terms. Work with your agent to ensure that all details are true and accurate.
- Obtain approval from a judge. Once all documents are in, there will be a scheduled hearing. This will involve a brief testimony of why you need the money delivered on these terms and how it will affect you and your family’s future, if applicable. Usually, this part of the process goes swiftly and without delay, and the transfer will be approved. At this time the order is transmitted to your structured settlement professional and funds are disseminated in accordance with the court’s order.
There are a few things to think about when considering a company to work with during this process. The company must have your best interests in mind and work hard to deliver those to you and they must be able to get quotes swiftly and with little lag time. Here are a few reliable companies to choose from.
Top Rated Structured Settlement Companies
J.G. Wentworth Home Lending provides various resources which can aid clients in making well-planned decisions with their money and assets. They offer competitive rates and boast a high level of customer service. They also offer an attractive option known as “pre-settlement”, which allows for monies to be distributed before a settlement is finalized. This is very appealing to those who cannot wait and need cash immediately. Known as the largest structured settlement payment buyers in the nation, J.G. Wentworth has been offering their services for more than twenty years.
Olive Branch Funding:
With offices throughout the Unites States, Olive Branch has a solid reputation for good customer service and availability, as well as a proven track record of success in the courtroom. Unlike J.G. Wentworth, this company does not offer any other products and focuses solely on annuities and structured settlements, providing peace of mind that your case will be very important to them. They also offer pre-settlement distribution of funds, enabling your life to continue without having to suffer the consequences of a lack of money. Olive Brach is known for its hands-on approach to the structured settlement process and will work hard to make sure you get exactly what you deserve.
Based in Bethesda MD, is another full-service financial company that offers many of the same solutions that other companies do, including annuities, structured settlements, and lottery winnings claims. One feature that sets them apart from other companies is their “one to one” approach to customer service. In other words, you will have the same representative for the entirety of your settlement process. This can be an immense relief to many people, assuring a peace of mind that can come with familiarity.