10 Mar 3 Reasons You Should Sell Structured Settlement Payments
So, you’ve won an annuity settlement, lottery payments, or came into a structured settlement somehow. There are many different ways you might come into one, but at the end of day, the question becomes whether you should keep the long-term investment or sell the structured settlement payments.
If you choose the annuity method, the only way to get instant access to your money is through services like Structured Asset Services. Beyond simply needing the money, here are three reasons to sell structured settlement payments.
- A Bird in the Hand..: You’ve probably heard the old adage about a bird and the bush, which can easily be applied here. Although your settlement payments are supposed to be guaranteed, there’s really no way you can be sure you’ll see the full amount of your money. What if the company structuring the deal goes bankrupt? Sure, there’s probably legal recourse you could take, but that will be costly and time-consuming. Wouldn’t you rather sell structured settlement payments and have the money you’re entitled to on hand rather than wait and hope it will be there for you down the road?
- Pay Off Debts: Besides paying for emergencies that might arise, using this money to pay off debts today can save you thousands of dollars on the interest you’ll accumulate over that time. About 26% of Americans admit to not paying their bills on time, which only exacerbates this issue. When you think about it like that, you’re actually increasing the value of the money even more.
- Investment Opportunities: The little bit of money you’ll receive from annual payments can be a nice way to help pay for little things, but if you really want to improve the return on investment, you can invest a portion of the lump sum you’ll receive and do with it as you please. Stock market, bank accounts, business ventures. The opportunities are endless!
The first thing you have to consider before you sell structured settlement payments is what type you’re dealing with. For example, most annuities will charge you a penalty — up to 7% — for early withdrawals. That’s no good if you need money today. The government will take up to 25% of jackpot lottery wins in taxes, regardless of how you receive the money, but they’ll only let you make the choice between lump sum or annual payments when you claim it.
No matter what you originally choose, you can always come to us and sell your structured settlement payments for cash today.