Sell your structured settlement for cash 

As the beneficiary of a structured settlement payment plan, you have a number of different options to consider when managing your funds. In case your circumstances change and you may suddenly require a large amount of cash, it should comfort you to know that selling your structured settlement for cash is a viable option.  

Although it’s not best for all persons and all situations, selling your structured settlement for cash—called a lump sum—an be done at some point during the duration of the settlement payouts.

Check first!

Because of their many benefits to claimants, especially in personal injury or compensatory cases, structured settlements are final. So when considering whether or not to sell your structured settlement for cash, first check if there are any clauses in the settlement agreement that prevent you from doing so. Structured settlement agreements offer variable flexibility and have different requirements for you to accomplish before you can sell them for cash.
 
If you are just about to sign a structured settlement contract, do check the requirements for selling and make sure that they are flexible enough—just in case you need a lump sum later on. If circumstances change, you’ll be glad that you took the time to check.

Why do it?

Before you get lured by promises of “big bucks” and fast cash, here’s a reality check: selling your structured settlements will net you much less than the total value of the remaining payments, and will take anywhere from two to six months. So bear in mind that selling your structured settlement is a last resort.
 
However, there really are some unavoidable and dire circumstances that require a large sum of cash, such as medical care or long-term care. Or you may need a large amount of cash for unforeseen expenses. Or, drastically reduced life expectancy after a severe accident may want to make the recipient of the settlement receive a lump sum to make the most of the next few months, either via a great vacation or comfortable final months.
 
On the bright side, a sudden recovery may do away with the need for payments to sustain a claimant’s losses from a personal injury settlement.

Why not?

Companies that purchase structured settlements are growing in number. However, so are the companies that are simply in it to take advantage of the financial needs, and sometimes the dire straits, of the recipient of the structured settlement. If an offer is too good to be true, it just might be. You may be unable to find fantastic offers in terms of purchase price, so it is imperative to take the time to shop around for an ethical company, an efficient broker, and a good price.

Where to start?

Consult an independent expert, specifically a financial advisor or attorney, to ensure that you get the best offer for your structured settlement. An attorney will also help you decipher the “legalese” in contracts offered to you and make sure that the transaction is fully legal. Selling a structured settlement for cash also requires court approval, so having an attorney is indeed a must. In addition to this, a broker will administer the transaction for an additional fee, usually a commission or percentage of the sale amount.

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