Based on several recent articles about the private sector for structured settlements, you already know that transferring your structured payments to a third party is perfectly legal. But knowing that you can actually sell your future payments for a lump sum makes it even more appealing. However, there’s a good reason why such a large portion of your future settlement was set aside in the first place. It’s because that future payment (the one you’re stuck with) may very well be worth much more to you today than it would be to someone else in the future. You may even find that the lump sum paid for your future more than the actual payments ever did.

It’s possible for you to receive an offer for the future payments in a lump sum, but when you apply for a wrongful death case you’ll be awarded on a “contingency basis.” That means that the amount you are awarded is not necessarily the entire lump sum you’re looking for. If you were to apply for another structured settlement payment based upon your future payments, you may very well find that you are actually receiving a substantially lower amount than what your structured settlement award is likely to be.

Some people incorrectly believe that they must always pay 100% of their structured settlement future payments, but that’s not true at all. What you actually need to do is pay a small percentage extra for the remaining balance, and this is what will get you the highest lump sum amount for your lump sum. Essentially, you are receiving the amount you could have obtained from a discounted loan, but instead the loan company chooses to give you the full amount, as long as you agree to pay the discounted part now. Basically, this is how your present value is figured; but instead of using the present value of cash today, you use the discounted value of future payments.

In order to sell structured settlement payments, the following steps must be followed: first, contact the company providing the settlement payments; second, determine the present value of your future payments; third, contact an investment advisor to help in the calculation of the present value of future payments; and fourth, if you need to use a loan for the purchase of these payments, get approval from the loan company. After obtaining all of the necessary documents and information needed to process your sale, the company you’ve hired to handle the sale will debit your bank account once the negotiations begin. When this is done, the company will then pay you the money for your settlement; the money will be deposited into an escrow account, and eventually it will be distributed to the annuitant. Depending on your situation, the payments can either be given directly to the individual living in your home or to the individual who was primarily responsible for your financial situation to begin with.

While there are numerous reasons why a person might sell their present structured settlement payments, one of the best reasons is because they want a lump sum of money right away. It can be difficult, however, to find someone who would be willing to buyout your present settlement payments so that they could receive a lump sum of cash today instead of waiting years to receive a small monthly payment each month. If you need immediate funds, a buyout loan may be the best option. These types of buyouts can provide you with the funds you need without the hassles of paperwork, credit checks, and other preparations that are usually required for selling most other types of financial transactions. With a buyout loan, the process is made much easier because you do not have to go through the same process as those who sell structured settlement payments.

People who choose to sell structured settlements for a lump sum payment can also benefit from this type of loan. These individuals may not have enough available income to meet their current needs or they may simply prefer the lump sum payment over waiting months or years to receive regular payments. No matter what your personal preferences are, you should know that it is possible to receive these funds immediately. Structured settlement buyouts are available to qualified buyers. If you are one of the many individuals interested in selling your structured settlements, don’t delay in getting in contact with an agent who can help you with your needs. A buyout will provide you with the money you need so that you can begin to take advantage of the many benefits this type of loan can offer.