วันอาทิตย์ที่ 18 กันยายน พ.ศ. 2554

How to Successfully Sell a Structured Settlement


The main reason that people seek out to sell a structured settlement is so that they will be able to have a lump sum of money at once. Some people are trying to get out of debt and others want to have money for an investment. They may be looking to buy a home, a new vehicle, or even to buy a business so that they can make a return on the money they use for starting it up.

Whatever the reasons behind it may be, there is a right way to go about how to sell a structured settlement. You need to do your homework and find out what is offered out there. Don't be in a rush to just give it over to anyone or you can end up getting scammed or losing too much money.

When you sell the settlement you will get a lump sum that is less than what the overall structured settlement would be over the time frame that has been outlined. You want to compare rates to find out where you can get the best overall deal. Of course some stipulations of a structured settlement state that it can't be sold so make sure you don't have such confinement before you even start to look for a buyer.

Once you find a buyer that seems good, check out their reputation. Find out how long they have been in business, look at any claimed filed with the BBB, and read independent reviews online too. Those will be from people just like you who have worked first hand with that business. Find out how the process went for them when they sold a structured settlement so you can void common pitfalls.

Make sure you carefully read through all of the terms and conditions for the sell of your structured settlement too. Find out what the tax repercussions will be, how much money you will get, and when that money is going to be available. It may be a good idea to have a financial advisor review it for you before you sign on the dotted line.

How to Get Structured Settlement Cash


Structured settlements are financial agreements that are worked out between a claimant and a defendant in tort proceedings. The two parties decide on a tax-free financial settlement that is paid out over a period of time that is determined by the claimant. Organized by Congress during the 1970s, these settlements were designed as an improvement over lump sum payments.

Nevertheless, our financial system has been ravaged by the decline for the last two years. Bankruptcies, foreclosures, and unemployment rates have increased greatly, putting many persons and families at risk. Hence, plenty of people have looking for a method to sell their future annuities in order to get structured settlement cash.

While these arrangements were proposed to help people be more financially conscientious, there are circumstances where liquidity is required. People are curious about how to get settlement cash in case they need to pay a bill or want to make a large purchase.

Most people who need to get cash for their settlement should make use of a structured settlement broker. Structured brokers submit your offer to a number of underwriters and help you choose the one with the greatest terms. In addition, brokers are able to review your unique financial circumstances in order to help you figure out the best course of action. It is not suggested that you attempt to sell your structured settlement without a broker.

The best avenue to find a trustworthy broker is to ask your bank or accountant for suggestions. You could ask family members to refer someone. Before attempting to get cash for your annuity, it is imperative that you have a real need for the cash because once you sell it you will be unable to buy it back.

It is important to observe that you do not have to pay state or federal taxes when you sell your settlement. If you are able to forego the benefits of a structured settlement, getting cash for your structured settlement can be a beneficial principle. Just be sure that you have a firm understanding of your financial goals and trustworthy structured settlement broker to manage the deal.

วันเสาร์ที่ 17 กันยายน พ.ศ. 2554

How to Avoid a Bad Credit Situation - Structured Settlement to the Rescue


A few decades ago, taking credit was an action that was looked down on and only resorted to when a person was totally in a very bad situation and needed desperate monetary help to get out of it. Today's term credit represents a whole industry that makes a living because of people like us who take credit not because we desperately need it but because transactions this way are much easier. You can even choose to buy things that you could never afford if there was no credit facility. For example, by taking a car loan you are able to purchase that dream car of yours and pay the amount periodically in lesser divisions over a period of time. Hence it has become very common on the part of the lay man to go for a loan for everything.

Loan also comes with a rate of interest that has to be paid to the lender. We often don't study different rates of interest and opt for a random loan thinking that we will be able to clear it. In some cases, this proves to be false. If this happens then your dream car or home might be re-possessed by the loan lender. But if you have a structured settlement, you will quite effectively be able to launch yourself from the situation. Wonder how? Let me explain.

Since you are reading this article, I assume that you are familiar with the term "Structured Settlement". As mentioned above, structured settlements can be your savior in a situation where you have no other way but to give up your most loved possession. If you didn't know, there funding companies out there which buy structured settlement from individuals. You can always sell your structured settlement to such companies and receive a lump sum settlement. Though the lump sum received would not be equal to the amount you would have eventually received in case of a structured settlement, it may still help you to keep your desired possession. In some cases, the lump sum from the structured settlement will save the dignity and respect that the individual receives.

The process of selling your structured settlement is a complex one and you as common man definitely need some expert advice on this topic. It is not advisable to go about this process without the guidance of an industry expert who can guide you based on his knowledge and experience in the field.

Exorbitant Structured Settlements Discount Rates


There could be several reasons why you want lump sum cash for your structured settlements. You may want cash for paying off your medical bills, or you want to pay your college fees, you want to pay-off your debt or you may want to meet some urgent expenses, whatever the reasons it is a fact that most of the people prefer to get one time lump sum cash compare to small monthly or yearly payments.

But the problem is all the companies who purchase structured settlements charge exorbitant discount rates. The national average for such purchasing such settlements is 19%. Companies claim they are buying huge risk from you as it cannot be guaranteed that the paying company will survive for 15-20 years and continue the payments regularly.

If you analyze the figures after calculations you will realize that buying company is taking away a large share from your settlements. For instance, let us assume you are supposed to get $200k in next 10 years, i.e. $1k per month. With a discount rate of 19% it equals to approximately $112k. That means the buying company will get almost $88,000 more from the paying party, which accounts to almost 44% of gross payments!

If you sell your settlement for a rate of 12%, you will get around $140k which will be almost $30K higher than the national average of 19%. So it is in your best interest to bargain for best rates. Try to sell your structured settlement for not more than 10-12% otherwise you will lose a huge sum of money. This is where factoring companies are heading in future.

วันศุกร์ที่ 16 กันยายน พ.ศ. 2554

Debt Settlement - Negotiate Unsecured Debts - Things Your Creditors Don't Want You to Know


You are down in debt and are looking for debt relief. You have also seen and heard that a large number of people have accumulated debts worth thousands of dollars. There are reports of politicians and even presidential candidates being deep in debt. You have company out there. In this entire situation only your creditors seem to be winners.

However the fact is quite contrary. Your Creditors are in bigger trouble than you. They have crossed the threshold of debt long back. They just can not afford to have more than 10 to 15 percent of their users filing for bankruptcy. If that happens the Credit card companies will be bankrupt. This situation will see not only the collapse of the Credit card companies but the entire financial system in the US. The government has therefore infused large amount of money in the system called stimulus money to bail out the investors.

The Credit card companies thus do not want you to know about their weakness. They have tried to keep this a closely guarded secret. Yet it is well known that there is some trouble brewing on the front of Credit card companies to investors in general. It is precisely this weakness of the Credit card companies that you need to exploit. Strike at the place where it hurts them the most. Ask them to negotiate your debt.

Go in for a debt settlement. This is an out of court negotiation with your creditors. They walk up half the road and you come forward the other half. This is exactly how the system works. On your part you need to be prepared to pay up to 50 percent of the debt in one go. The creditors will willingly forgo balance of the amount as it is quite beneficial for them to recover some money from you rather than nothing at all.

Check Out Insurance Companies Before Accepting Structured Settlements


To find people who are upright today seems close to finding the proverbial needle in a haystack. There are not many people who want to do all that is just and fair in any kind of situation. Where Structured Settlements are concerned, the integrity of those who are handling the same, are put to the test. Not many people are able to resist the temptation of money that they can easily lay their hands on. They feel that they could do a mismanagement of the funds just by being a wee bit cleverer than the poor guy who has applied for such a settlement.

What would happen to such a person who has approached the arbitrator or the court and hopes to get Structured Settlements made out to him to ease his financial burden? This is certainly a dicey situation with very little recourse available to the person, in case of a fraud by the insurance company. There are those who trust the reps of these insurance companies, believing fully that their interests will be taken care of. They are able to ascertain the facts much later than they should have, resulting in a situation that is certainly the most unenviable at that point of time.

Once the Structured Settlements are made available, the person concerned feels that he is vindicated and that he will continue to receive the payments as promised by the insurance or other financial firm. However, in many cases, the reverse is what happens after the first two or three installments have been paid. They begin defaulting on the payments. Here again, for the first one or two months, the person is totally unaware of the fact that the insurance company has done this with no intention whatsoever of being fair. On the other hand, the intention to defraud the client is now clearly visible.

What could further complicate the issue is that there could be other firms who come forward to sort out this Structured Settlements issue on your behalf. Little does a person realize that, here again there are birds of prey waiting to devour hapless creatures who are trying to clutch on to straws and get what is rightfully due to them. It is therefore a situation that requires a great deal of tact and street-smartness to be able to decipher the hidden agenda of these insurance companies. Failure to do so could result in a costly mistake that a person could not really recover from.

It would therefore be a good idea to study the Structured Settlements package before actually signing papers accepting the same. Once you have signed on the dotted line, it becomes quite difficult to actually negotiate with the firm, because, unwittingly you have signed for something without actually realizing that you have done so. It might sound and feel quite odd that you have fallen prey to these hawks; nevertheless, don't lose heart, there's always a way out of this.

Cash For Personal Injury Structured Settlement


Personal Injury Settlement is the legal term to describe the compensation paid for physical injuries to the victim. Injuries like broken arms, broken legs, any physical disfigurement, burns and different type of scarring come under this category. Generally such injuries happen in work environments, road accidents and medical negligence. The victim can sue the responsible authorities for compensation against these types of injuries.

If injuries are minor they are mostly settled outside the court. Insurance companies can make one time down payment after negotiating with the victim. But if injuries are major and victim got some serious injuries leading to permanent disability, mental trauma or major financial loss a personal lawyer is required who can help you professionally in recovering for damages.

In most cases, the personal injuries are a result of workplace hazards or road accidents. For instance people working in production and construction industries get affected with diseases like asbestosis or lung cancer. Industrial wastes, pesticides, radiations etc can cause severe damage to workers health. Sometimes personal injuries also arise due to medical negligence at hospitals. All these conditions in which it is difficult to assess the total damages legal court of justice is the best place for such settlements.

If settlement amount is huge, the court allows the companies to pay damages in installments. In such cases, victim receives small amounts of money every month. But it is generally observed that injured person need immediate money to meet his medical expenses. Under such circumstances you can sell your settlement to some third party and can obtain instant cash for your personal injury settlement.

5 Tips For Selling Your Structured Settlement Annuity


Wondering if you should avail a lump sum or take your annual annuity payment? If you need a lump sum to invest in your life right now, selling your annuity payments is a wise choice. It could help bring you out of abyss of debt or deal with urgent need of cash, including medical expenses, home or car purchase or even education. You can sell either a part of your annuity/settlement structure or all of it, depending on your needs. Here are the five most important tips, which you can use before you sell your structured settlement annuities for cash:

1. Research to Find a Reputable Buyer

You need to scrutinize the private investor, who is ready to buy your structured settlement. Read more about their options and testimonials to determine what clients say about them before you choose their services. Check if they are a member of the Better Business Bureau. You need to be sure that you are getting the most value for your settlement.

2. Ask for Certification

Conversion of your annuity to a lump-sum payment with unregistered or illegitimate companies can leave you helpless and without the cash you need. If you do not understand the ramifications, you are susceptible to scams and might end up with very low cash or no cash at all! It helps to consult a legal advisor, stay alert and choose a trustworthy firm when you have decided to sell your structured annuities.

3. Know Your Rights

It helps to contact a legal advisor to determine what the law permits and what rights you are entitled to, before you sell your structured settlement annuities. To begin with, selling your structured settlement is completely a legal process and individuals have been buying and selling them for years. Most states in the U.S. allow you to sell your structured annuities in a risk-free manner. Financial advisors will help you determine what the law of your state permits and ascertain your rights too.

4. Have a Long Term Plan

Evaluate your current financial standings, determine the obligations, your plans for the future, and consider if selling all or a part of your structured settlement can help you meet your goals.

5. Seek Advice

As with any other financial transaction, it is important that you seek expert advice and several opinions before you agree to sell your annuity payments. Most companies will give you a free quote. Take a look at several offers and determine if it is worth selling you structured settlement annuities or not.