A structured settlement is a financial arrangement that has become very popular since the 1970s. Settlements from personal injury suits, lottery winnings and insurance claims are a few of the time when structured settlements are often used. When a structured settlement is agreed upon a schedule is set up for payments to be made. Both parties benefit because the paying party has more time to come up with the money and the receiving party can count on additional income for their yearly budgeting.
In some cases structured settlement payments are relied on to help pay expenses and make necessary purchases. When the payments cannot cover expenses, structured settlement annuitants can sell their structured settlement payments for a lump sum payment to help cover their expenses in the short term. Cashing out your structured settlement payments can help you cover your necessary expenses or help you buy a big ticket item that you’ve always wanted.
When you sell your structured settlement payments you want to make sure that you are going to get the best lump sum payment that you can find. There are a lot of companies that will purchase your structured settlement but are not interested in giving you the best deal. They profit by selling your payments to a bank for a higher price than they paid to you. When they profit they are taking money that you could have earned.
To avoid working with these companies and getting a low offer you can work directly with a bank. Working with a bank can give you a generous lump sum payment because they are unlikely to sell your structured settlement payments to try and make a profit. You can also feel safe that you are working with professionals who have experience in the structured settlement finance industry.
It is also good to make sure that the bank you work with is an established bank. For instance, AnFed Bank has been a buyer of structured settlement payments. AnFed Bank is also a division of BofI Federal Bank, which is a publically traded company (BOFI), federally chartered and FDIC insured. These credentials make working with AnFed Bank a safe bet.
Selling your structured settlement payments is an important decision and you want to make sure that you have the right people to help you along the way. Talking directly to a bank can help you get a more generous lump sum payment and can give you confidence that you are working with people who have experience in the industry.
