In the US, structured settlements constitute a substantial percentage of medical malpractice, workers, and personal injury resolutions. Unlike countries like the UK, Canada, and Australia, the proliferation of, structured settlements in the US spawned a booming secondary market where tort claimants armed with a structured settlement annuity contract to sell their income stream in exchange for a lump sum monetary payment. To sell your structured settlement payment rights, you have to abide by the legal framework applicable in your state. However, court approval does not go down the road of lengthy litigation as it only entails a short-haul review of the transaction. If you’re successful in a settling tort annuitant, structured settlement payments are cashable for a lump sum at any factoring company.
Tina Wolf became the recipient of a structured settlement after a successful medical malpractice lawsuit in which she became entitled to monthly payments. Her monthly payment of $1,700 could barely sustain her money demands as she was funding a car loan and mortgage to elbow repossession and foreclosure. One day as Tina sat ensconced on the coach mooning over the photo of her husband who had passed on earlier, the idea of selling her structured settlement payments sprout in her mind. She instinctively knew process would entail the exercise of due diligence as structured settlements differ from lottery winnings.
Sell Structured Settlement
How Did She Sell Her Structured Settlement?
She had to observe three critical steps to dispose of her future cash flows:
Select a Reliable Buyer: After setting forth tenable reasons to transfer her structured settlement payments, she pinpointed a renowned and tested buyer of annuities. She endorsed SenecaOne due to their experience in romping through court-sanctioned transfers. They’re veteran members of the National Association of Structured Settlement Purchasers, five-star customer ratings online and clean record at the Better Business Bureau.
Factoring or Selling Process: Peachtree conveyed paperwork to her for execution and endorsements. They first sent a disclosure statement with a rescission period, transfer agreement, and an admonishment to a professional independent advisor.
Court Review and Approval: Once she had executed all relevant documents, the structured settlement funding company lodged an application in a county circuit court. The court required her to ventilate the petition and show why the application should not be denied. The interested parties did not raise any objections; the judge approved and signed off a qualifying order.
Crucial Factors She Considered to Cash In Higher Earnings For Her Annuity
Purchase Price Offers: Tina was keen not to get a bad bargain and sought free quotes from several companies. The lump sum held out varied by a very wide margin. Peachtree had a striking lump sum price, taking into consideration the amount of her monthly installments and schedule of pre-determined payments.
Discount and Annual Interest Rates: Again, Peachtree outpaced all companies with an extremely low discount and annual interest rates. The interest rate resembles the compounding of a consumer loan.
Processing Expenses: The itemized list of processing fees she would incur was also low leading to higher earnings for her lump sum. Peachtree has integrated seamless workflows and a vast constellation of attorneys and actuaries to speed up her application.
Plausible Reasons That Sway Judges to Approve Factoring Deals
Although she was facing cash flow problems, the judge did not rubberstamp the structured settlement sale whimsically. The court had to get substantial evidence the sale was in her best interests, the lump sum payment was fair and reasonable as well as implications on potential dependents. Tina needed a lump sum cash payment to set off the car loan and mortgage down payment.
Structured Settlement Buying Companies in the Frontline of the Factoring Industry
Peachtree Financial Solutions can compile relevant documents such as the transfer agreement, notices and disclosure, deliver them to payees and interested parties in a trice. The company has implemented measures to streamline the court application process.
Olive Branch Funding acts as a loyal representative of annuitants seeking the highest offer for future income payments, convince the judge to grant approval in chambers, and disburse your lump sum payment rapidly.
Fairfield Funding has remained an unbeatable buyer of structured settlement payments, annuities, and lottery winnings due to their vigilance on adhering to consumer protection laws all over the US.