Is selling a structured settlement allowed?
Selling a structured settlement is permitted in most states and is known as a secondary market annuity sale. Buyers of your periodic payments will take over your payments and wait until the end of the term to collect the full amount. This is one reason that when selling you receive a discounted rate. While you’re receiving a lump sum, the buyer must wait for the settlement payments for the duration. A structured settlement can only be sold once, so the buyer of your payments is locked in. In short, you are allowed to sell a structured settlement so long as a judge approves it.