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In many instances, when a plaintiff’s case is settled for a large monetary sum, they receive that settlement in installment payments as opposed to a single lump sum. This type of settlement is referred to as a structured settlement. One or more annuities are often purchased in order to create the structured settlement. These annuities guarantee that all future payments will be received as promised.
When a structured settlement is agreed on, the payment method and schedule is agreed upon by the parties involved. For example, annual installments may be paid over a period of several years, or the settlement may be paid in lump sums separated over a period of every few years.
Advantages of Choosing a Structured Settlement
The advantages of a structured settlement may largely benefit the plaintiff. Tax avoidance is one significant advantage of choosing a structured settlement. When properly set up, it will create a significant reduction in the plaintiff’s tax obligations. In some instances, a structured settlement may even be tax-free.
If the plaintiff is a minor, a structured settlement can provide funds to cover certain costs associated with their youth. It may also help to off-set educational expenses when they enroll in college as an adult.
Another situation where the plaintiff benefits from a structured settlement is when they have been injured and require long-term care. The periodic lump sum payments will assist them in purchasing any needed medical equipment and even vehicles modified for handicapped persons.
Disadvantages of a Structured Settlement
The periodic payments of a structured settlement can sometimes cause the person who is receiving them to feel trapped. They may need funds to make an expensive purchase, such a home. It can be frustrating for them to know that they are owed a large sum of money but can’t utilize it for what they need.
Selling of a Structured Settlement
Selling of a structured settlement is restricted in some states, but in other states you may have the option to do so. If this is something that you are considering, but sure to research the company that wants to purchase your settlement. Make sure that they are reputable and well-established before you take the plunge.
What else can I help you with?
can you sell your structured settlement in the state of NC?
According to Structured Settlement Protection Act, you have right to sell
Where can I learn about structured settlement funding?
Structured settlement funding is when a company buys your periodical payments and gives you a lump sum settlement.You can contact JG Wenworth about your structured settlement and peachtreefinanical for help.
Where can I learn more about cash for structured settlements?
You can learn more about cash for structured settlements at at www.jgwentworth/Structured-Settlement/Sell-Structured-Settlement.aspx. They explain what a structured settlement is, and how to sell all or some of your monthly payments.
What is structured settlement funding?
A structured settlement is the payments you are receive from a settlement in wrongful death or injury case. Structured settlement funding allows a company to "buy" the future installments of the settlement from the payee. The payee then receives a lump sum from the company and the company receives the future payments.
What exactly is a sell structured insurance settlement?
Keyword: sell structured insurance settlementJ&RQuestion: What exactly is a sell structured insurance settlement? What a sell structured insurance settlement means is that instead of getting a lump sum payment, you will receive as a claimant in the case of personal injury, a financial agreement or settlement.
When would a structured payment be required?
"Usually, a structured payment is set up as part of a structured settlement." A structured payment is made to a claimant who was part of a structured settlement. They receive payments instead of one lump sum.
How can one obtain a structured settlement transfer?
A structured settlement is a conservative pre-owned annuity or in other words a financial or insurance arrangement. The benefits of a structured settlement transfer can be to reduce legal and other costs.
In what year was the Structured Settlement Protection Act enacted?
A structured settlement is a financial or insurance arrangement, defined by Internal Revenue Code as periodic payments. The Structured Settlement Protection act was enacted during 1970s.
How does one sell a structured settlement?
You can sell a structured settlement to J.G. Wentworth. They are one of the worlds largest buyers of structured settlement payments and annuities. They have also handled more than $2 billion in payment transfers.
Where can a person go to get information on acquiring a structured settlement payout?
Given the high amount of variation presented in a structured settlement payout plan, it can be concluded that the single most reliable location to obtain information on acquiring a structured settlement payout plan would be directly from the company that would be handling the structured settlement payout.
How can I get a payment advance on my cash structured settlement?
There are many organizations that advertise on television that offer payment advances on cash structured settlements. In addition to them, a good one online is www.stonestreet.com. A structured settlement spells out the terms of the settlement and when the settlement payments will be made. There is not a way to get a advance on that.
Where can someone sell their structured settlement?
A structured settlement is a court order sum that is considered to be a reimbursement for some type of negligence that has been caused by a company or person. One can sell this settlement in order to expedite the process of getting money, and can be done with companies such as My Structured Settlement Cash or Liberty Settlement Funding.
