Simply put, a structured settlement is not a loan or a bank account, and the only way to receive money from your settlement is to stick to your payment schedule or sell part or all of your payments to a credited company for a lump sum of cash. RSL Funding helps beneficiaries of structured settlements or annuities obtain the funds they need to avoid financial hardship and potential damage to credit ratings. A structured cash or lump sum settlement is a viable option that can help people financially without the added stress of having to return the money. When consulting with those who have structured settlements, RLS Funding takes care of purchasing the settlement for a lump sum. Usually, a person can pledge real or personal property as collateral for a loan from a bank.
This is because the bank can seize real estate, land, jewelry, and other types of personal property and then sell them if you don't repay the loan. While structured settlements are assets and certainly valuable, there is no legal way for banks to sell their structured settlement payments. This is because it's your money, which is granted to you by the courts. Selling some or all of your structured settlement payment flow is a great way to keep your head above water and avoid incurring additional debt. If you need hard-pressed cash to cover a major expense, this could be the best solution.
One of the benefits of having a structured settlement is that you get long-term financial security in the form of a reliable revenue stream. The amount you can get when you withdraw your structured settlement is not simply the total amount of all your payments added together. When you sell your future structured settlement payments to a factoring company, they will determine the present value of your payments using a mathematical equation. Your lawyer or accountant can lend an extra layer to the proceedings, as they know your individual situation and can help ensure that the sale of your structured settlement annuity is in your best interest. Structured agreements are often designed to take into account your future income needs, ongoing medical bills, income from other sources, and other future financial obligations, such as college tuition for your children. However, it is still possible for residents of these states to sell their structured settlements to a financing company and for that transaction to take place under the laws of the state in which that company or insurance company is domiciled. Secondary market annuities occur when a third-party company gives the agreement owner a lump sum of money for payment of the structured settlement.
Consulting with a lawyer or financial advisor regarding the sale of your structured settlement is a smart decision. You can sell just one or several future payments, it all depends on the amount of money you think you need. Workers' compensation payments, personal injury claims, wrongful death lawsuits, and product liability issues are all legal cases that often end with structured compensation. After the settlement money is negotiated and final terms are reached, the court order will request that the funds be placed in a type of income annuity contract called structured annuities. This offer is not available to Louisiana residents who have a pending transaction with JG Wentworth or any related or unrelated structured settlement buying company. But despite regular installment payments, people find themselves in situations where a structured settlement cash withdrawal is needed to address a financial need.
