Are you receiving a structured settlement as the result of a favorable court judgement? If so, then you are probably receiving periodic payments as a result of the settlement. However, after fighting a lengthy court battle you may find yourself in need of cash now rather than accepting long drawn-out payments spread out over several years.
If you have found yourself in the situation where you need cash now, you may have considered selling your settlement in exchange for a lump-sum payment. While selling your settlement can get cash in your pocket now, it’s important to weigh all of the financial positives and negatives that selling bring with it.
Why Sell a Structured Settlement?
There are times when selling your structured settlement can make sense. If your personal injury has left you with a mountain of medical bills, you may find that selling your structured settlement is the only way to climb yourself out of the debt.
Selling your structured settlement can also give you liquidity that recurring monthly payments cannot. By having a large lump sum of money, you can invest it in a way that will enable you to quickly cash it out if the need arises.
You may also want to consider the time value of money. Even if your structured settlement increases with inflation, you may receive a better rate of return by selling your structured settlement and investing the lump sum payment. If you are considering this option, it is important to meet with a financial adviser to weigh the risks.
Selling Your Settlement
Before selling a structured settlement you should consult a licensed financial expert. It is not something to be taken lightly as you may find yourself regretting it later.
This $1,000 cash giveaway was brought to you by StructuredSettlement-Quotes.com, America’s #1 structured settlement and annuity marketplace.
The giveaway will begin January 9th, 2013 and end on January 31st, 2013. Good Luck!
Photo Provided By: 401kcalculator.org
Good advice there Justin. This can be a tricky situation and financial advisers are payed the big bucks to know what to do in these situations.
Glen @ Monster Piggy Bank recently posted..Sell Structured Settlement Payments – Lump Sum vs Annuity
Not a half bad giveaway, too bad we can’t win it ourselves.
John S @ Frugal Rules recently posted..December Blog Goals Update
There are so many things to consider about today’s value of a tomorrow dollar, more than just inflation. Advisers can help see clearer.
Pauline recently posted..$1000 giveaway! What are structured settlements?
Yes. An adviser can tell you how much your lump sum could be worth in 5, 10, 15 years at a given rate of return.
So glad we could co-host this giveaway together. My wife and I enter a lot of giveaways, and this honestly blows most of them out of the water. $1k cash is an incredible prize.
DC @ Young Adult Money recently posted..$1000 Cash Giveaway – Structured Settlement Edition
You’re right DC. I’ve seen some for $100 and I think there was one for $250. But not for $1,000. Good luck to all of those who enter.
Thanks for co-hosting!!!
Holly@ClubThrifty recently posted..My Escape from Hotel Hell