When a person wins the lottery they will likely choose to get paid in installments over time. This is a popular choice because people like to have guaranteed income they can rely on in the future regardless of where they are in their career. This decision might make financial sense at the time, but sometimes circumstances change. When a lottery winner needs money now they can get a lump sum payment from a company that will buy their future lottery payments.
Choosing what company to work with to sell your future lottery payments can be difficult. There are a lot of companies that will act as a broker between you and a bank. They buy your payments and give you a lump sum payment, then sell the future payments to a bank at a higher price. The money that these companies make is money that you should have in your pocket from your lump sum payment.
Working directly with a bank can help you get the most value for cashing out your future lottery payments. When you work with a bank it is unlikely that the bank will seek to sell your future payments. Because they are not trying to turn an immediate profit through selling your lottery payments they are likely to give you a more generous lump sum payment.
Working with a bank can also provide you with peace of mind that working with an independent company cannot. A bank is usually an established company that is operating in an industry they are familiar with. Some banks also carry greater responsibility than other companies because they rely on federal charters and have shareholders. AnFed Bank is a good example of a reputable bank in the lottery payment finance industry. AnFed Bank is a division of BofI Federal Bank. BofI Federal Bank is federally chartered, FDIC insured, and a publically traded company (NASDAQ: BOFI). Because of their affiliation with BofI Federal Bank, AnFed Bank has more than just their reputation to uphold.
When you need to cash out your future lottery payments for a lump sum payment now, make sure that you work with a company that will give you a generous lump sum payment. Working with a bank can help you eliminate middlemen who will want to profit off of your future lottery payments and provide you with peace of mind.
