If you are among those people in Los Angeles CA who are in a tight financial fix and the thought of selling a legal settlement, which you’ve been granted in the past occurs to you, don’t jump right into transacting a sale. Even if time is of the essence (you need to finance a child or grandchild’s college tuition, or to pay off a hospital bill or some other emergency situation) and you are in urgent need of cash, you need to take into consideration some important issues and matters before selling your legal settlement in order to obtain the best value for it.
Now if the main reason you want to divest partially of your structured settlement is to have some extra funds to embark on a vacation with your spouse or finance a home renovation or purchase, then there’s all the more reason to wait a while and discuss things thoroughly with your lawyer first. It is also crucial to find a reliable third party firm to facilitate the sale. Before even proceeding to authorize the transfer of your annuity or structured settlement into another person’s name, you need to know state laws/regulations that may place a restriction on the liquidation of a structured settlement.
There are tax matters that you may also have to deal with. A good company specializing in selling annuities or structured settlements will be well-informed on state laws and taxation matters, and may package the consultation with their professional fees.Good legal advice will be your safest bet. A legal counsel will ensure that you get the money you deserve. It is important to comply legally with the steps necessary to carry out a sale in your district.
Know How to Sell Structured Settlements or Annuities in Los Angeles CA ?
What is an annuity? An annuity is a regular monthly income stream that a person receives after an initial investment of money. Answering the question, "What is an annuity?" is a lot more complicated, of course. Annuities can be very complex and come in many different forms, so it's important to learn all you can about them before purchasing and selling. As with everything in life, knowledge is power, so it pays to know more about annuities before you get involved. Once you've researched more about them, you can move forward with confidence and make decisions that will benefit you the most.You must sell an annuity in order to receive a lump sum payment from it - this is the main reason why people sell annuities. Annuities are generally safe investments, but they don't have high returns, especially when compared to the alternatives. However, they make great short-term investments - it all depends on what you plan to get out of your investment strategy. Diversification is recommended for most people as a way to spread your assets around and reduce risk while increasing the potential for profit. Oftentimes people sell annuity payments to make a large purchase. Instead of receiving monthly payments you get a full amount in one payment. This can be very helpful if you want to buy a home and finance a large down payment, or purchase a vacation property. The best way to sell an annuity is to find a reliable company to sell it for you. A large company makes annuity selling easier because they have the funds and the experience to make it happen. Of course, there are downsides to selling an annuity through a larger company - you have to pay a fee and you may not get as much for the annuity as you hoped.You can sell annuity plans in another way, although this isn't the most popular choice - directly to someone wanting the annuity. Annuity selling through this method involves a lot of legalities in some cases but it's not impossible to do it on your own. There are many annuity selling opportunities online that can help you sell annuity plans quickly and easily.There are other ways to sell annuities as well, such as exchanging for other annuities or using them as collateral for a loan. To sell annuity plans you can get rather creative. For example, annuity selling that involves an exchange could work like the following - swap out a smaller payment over a long time period for a larger payment over a shorter term. This is a good option if you can't sell the structured settlement for a lump sum. You can also make a full swap, if annuity selling doesn't work out for you. This involves exchanging with a company or individual for an annuity that may be easier for you to sell on your own. Although the latter method charges more fees and takes longer for all the transactions to be processed, it can yield exactly the results you may be looking for. Using your structured settlement on a loan is not recommended, but if the interest rates are low and you're willing to go this route, it's a viable option. This method gives you a higher yield on your annuity and you get the lump sum to use as you please.
Were you awarded a settlement in a lawsuit or in a case that never made it to court? If so, you might want to cash it out for one lump sum of money. Some structured settlements can be paid out over as many as 30 years and that can be very inconvenient if you need the money now. Selling structured settlements is not difficult anymore, but you do have to know how to get the most out of it. Here is a little advice to help you get top dollar for your settlement. First, never accept the first offer. Shop it around with at least two other companies that will buy settlements. This will ensure that you get the top bid and get more value out of your legal settlement. It is kind of like an auction since you will be taking a bid from one company and telling another that they have been outbid. Do this until one company backs down, then accept the final offer from the company with the highest bid.Second, make sure you start by consulting your attorney to find out what your tax ramifications are going to be if you sell all or part of your settlement. This will also give you peace of mind to know that someone is there watching over your shoulder to make sure you make the right decisions and don't get a raw deal.Last, check the references of the company you choose. Also, check the better business bureau to make sure there are not complaints against them. It is necessary to make this transaction with a very reputable company so check them out thoroughly to give yourself peace of mind. You can cash out your settlement by following these tips on selling structured settlements. Use the lump sum to pay off medical bills, debts, your home, or to invest for a rainy day. It is your settlement so if you decide to sell it make sure it is your decision to do so and not someone else talking you into it.
What is a Structured Settlement Annuity?A Structured Settlement Annuity (SSA) is a contract issued by an insurance company that originated from a legal action such as a car accident, workplace accident, wrongful death, medical malpractice, etc. The original claimant (plaintiff) elected to accept a series of payments instead of a lump sum settlement. This series of payments are guaranteed by an US based insurance company and is in the form of a fixed annuity.In about 20% of the cases the claimants (or their heirs) elect to sell their SSAs (in full or part) in exchange for a discounted lump sum of cash today.What is the process when a Claimant decides to sell their SSA? Claimants that are considering selling their SSAs seek out factoring companies which are institutions that buy SSAs. Claimants are looking to get the largest lump sum of cash today in exchange for the rights that they give up to receive those future payments.This process must go through the court system which protects both the claimant and the factoring company in the selling of the SSA. Once the agreement is made and approved by the courts the factoring company pays the original claimant the agreed upon amount in a lump sum and the claimant signs off on all rights to receive those future payments.When a factoring company buys a SSA from a claimant they then offer to sell those court ordered rights to recoup the funds that they paid out. Some factoring companies package the SSAs and sell them on Wall Street or to large institutional investors and pension plans. Some factoring companies sell them to individual investors through a network of brokers as a Safe Money alternative which are good choices for both IRA funds and non-IRA funds.The payment streams can be either ongoing monthly payments for a set period of time or can come in the form of a deferred lump sum. The safety rests in the insurance company that is backing the payment stream. In addition, in most states there are State Guarantee Associations which back the principal of these annuities up to a certain amount. These are fixed annuities and as such they are afforded this protection.The court process is designed to protect all parties. The court sends a letter to the underlining insurance company notifying them that their policy-owner (the claimant) has sold the rights to their contract to the new owner. Once the insurance company responds and accepts (Acceptance Letter) that transfer of ownership the security to the new purchaser is complete.
Sell My Settlement Payments Los Angeles