Cash For Structured Settlement Payments
Sunday, July 17, 2011
, Posted by Unknown at 2:21 PM
You can get cash for structured settlement payments. there are companies who will buy up your settlement payments right now, and advance you that cash, minus their fee. they are like a short term cash advance lender, but your repayments come automatically over time from the settlement agreement, and you get much larger amounts of cash advanced. you can ask for all of it or just a part of it, and continue to get the rest in structured payments while they are also being paid off automatically. they will charge a fee for their services, from 10 to 50 percent of the amount you want advanced.
Many people who are involved in personal injury lawsuits receive large awards or make big settlements prior to going to court. if the sum is very large, it may be in everyone's best interest to spread the payments of that amount out over many years, or even decades. A medical malpractice lawsuit, a wrongful death lawsuit, and many other personal injury cases can involve awards or settlements in the six and seven number figures. if you take it all at once, there may be very high taxes, so it is best to spread it out over time and pay less, or no, tax.
You can avoid the higher taxes with a structured settlement. getting a cash advance against the settlement will not change your taxes, you may still have to pay them, but over the time of the agreement. For the payer of the settlement amount, paying over time is easier to handle. It is a way even for small awards to be set up. For the recipient, having yearly payments reduces the tax burden, and assures income over time for things like ongoing medical expenses.
However, if you want to purchase something big, like a house, or down payment on a house, or go back to school to further your education, you may want to get cash for structured settlement payments. you can pay off all your other bills, and get a new start with a big lump sum, right away. Inflation may cut into the actual amount you get over time, and that is another reason to consider getting cash for structured settlement payments.
Structured settlement agreements are protected in many states, so you need a judge to approve the action. This is only to be sure it is in your best interest to do this advance, and that the company you work with is on the level. So, if you have structured settlement payments or annuity cash coming in over time, and think you might want a lump sum, check it out to see if that is what you should do.
