Purchase Structured Settlements Now

If you are receiving a structured settlement annuity arising out of a personal injury lawsuit, you might have considered contacting a company that will purchase structured settlements.  After all, while a guaranteed stream of income is great, it does you no good if you need cash for structured settlement to cover unexpected medical expenses, college tuition, legal fees, or taxes.

Read further to determine whether or not you should contact a company that will purchase structures settlement payments for cash.

Get The Facts Before You Contact A Company To Buy Structured Settlements

Every seller needs to carefully consider the implications of a structured settlement sale.  After all, once you sell that stream of income, you cannot get it back.

However, if you decide to sell structured settlement payments to a company that will purchase structured settlement payments, the Internal Revenue Code is on your side (for once).

Overview Of The Structured Settlement Protection Act Of 2002

The Structured Settlement Protection Act created a number of safeguards for most Americans.

Court Approval.  First, The Structured Settlement Protection Act of 2002 mandated that where a seller wanted to sell structures settlement payments, the transaction had to be approved by a state court.  The court had a duty to determine whether or not the company that will purchase structured settlements was acting in good faith and whether or not the cash for structured settlement offer was in the best interest of the seller and/or his or her dependents.

Life Insurance Companies.  Second, the life insurance companies (ie the issuers of the structured settlement annuities) were required to be a party to the transaction to sell structured settlements.  This was a big change from the standard policy of excluding these parties in the past.  The net effect of the old policy was that the annuity issuers were caught by surprise when the company made a deal to purchase structured settlement payments from the seller.

Legal Counsel.  Third, the Structured Settlement Protection Act mandates that a seller desiring to sell structured settlements obtain legal and financial counsel on the sale of structured settlement for cash.

The Structured Settlement Protection Act – Fair Treatment

At the end of the day, only the seller can determine if cash for structured settlement is necessary for his circumstances.  If you decide to contact a company to purchase structures settlement payments, you are protected under federal law.

While it is true that you might experience delays, because the company that wants to buy structured settlement payments has to ensure compliance with federal law; the protection safeguards more than outweigh the inconvenience.  Remember, the aim of the federal law governing the ability to purchase structured settlements is designed to protect the public from an unscrupulous company that wishes to buy structured settlements at an unfair discount to fair market value.

Structured Settlement Protection Act Protects You!

Fortunately, the federal statute was passed to ensure that no unfair tactics are allowed when a company wants to purchase structured settlement payments from an unsophisticated seller needing cash for structured settlement.

In order to safeguard a structured settlement sale, the recipient must petition the court to be able to sell in the first place. The person will then need to fill out an application form and file papers in court.

So, before you make a decision to sell structured settlement payments, make sure that you and the company that wants to purchase structured settlement payments follow the law.

After all, these rules are in place to protect you!!!