We get so many questions from structured settlement recipients about selling their payments and when it makes the most sense to cash out for a lump sum that we will turn this into a series of blog posts.
Before selling one should consider other more traditional options of borrowing money like credit cards or a bank loan. However, when those are not options for whatever reason and if you are receiving future payments from an annuity you can transfer your payments for a lump sum.
Probably the most common reason we hear that people want a lump sum is that their recurring payments are no longer meeting their financial needs and they have mounting bills. The bills are often medical and stack up causing a trap that one can’t get out of.
The good news for settlement recipients is that you do have the ability to transfer your future payments for cash to help your situation. As well you have options. You can sell all of your payments or you can sell just some of your payments. Talk to an advisor that can guide you to get options that make the most sense for your financial needs.