subject: Get Maximum Advantage From Your Structured Payments [print this page] We never know when there might be a sudden need of money for unforeseen medical expenses, business or other personal reasons. If you do have funds but they are in the form of inflexible structured payments, you can look forward to selling your structured payments. Read on to know more.
Meeting with an accident can be quite a pain, not only does it affect you physically but may have other long lasting effects on your life. While you can claim and get a compensation for your losses from the defendant, it is often in the form of a structured settlement. A structured settlement is a financial arrangement where a claimant accepts to receive periodic payments over a period of time for the settlement of his claim. Structured payments were introduced with the objective of providing ongoing and fixed income to the claimant to help him with his needs and get financial security after an accident. Apart from an injury claim, structured payments can also be made in case of lottery winnings, contest prize money and other situations where you are entitled to get a large sum of money. They are usually paid by the defendant by purchasing an annuity from an insurance company which provides you regular payments.
Structured payments have their own benefits. The first and foremost is that personal injury structured payments are tax free so you don't have to worry about losing a part of your funds to taxes. Sometimes a large amount of lump sum money may not help you in the longer term as everyone is not good at managing money. A large sum of money can be subject to wastage due to mismanagement. Structured payments insure that you get a fixed small amount periodically that can give you financial security. However, it can be a problem at times when you are in need of a large sum of money, and you find your funds tied up for a period of several years. It can be for an unexpected medical expense, business needs, for purchase of property that you don't want to lose out on or for any other personal reasons. Even if you do not have any urgent financial need, you may find that structured payments provide you with a fixed amount of money. You would like to invest your money into an attractive investment plan that can give you high returns. From this point of view, you feel the need to get a lump sum amount instead of waiting for payments for years.
Finance companies recognize this need and offer you greater flexibility to do what you want with your money. They buy your structured settlement payments, annuities and personal injury settlement payments for an agreed sum of money. It may not be necessarily the complete settlement amount for the total number of years but in the pattern that you want. You have the option of selling only as many payments as you require for your current need. Thus, you can get both, an amount of cash upfront and the rest of it in the form of regular payment or the complete amount, whatever best suits your needs. You have an option to customize the payment arrangement according to your needs.
If you are considering selling your structured payments for a sum of money, it is important to find the right company to buy your structured payments that can provide you the largest possible amount for your structured payments. It is important to sell structured settlement to a trusted firm as it involves legal aspects to get the best results.
Get Maximum Advantage From Your Structured Payments
By: Glenn Torrey
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