Most Americans dream of winning the lottery. Every time the Powerball jackpot goes up, even people who do not normally play the lottery find themselves buying at least a ticket or two. What most of us do not even think about is how those jackpots are paid out. Powerball winners do not get the entire amount all at once. They get 30 annual checks, each is a bigger than the one before it. The Mega Millions jackpot pays out the same way. You get one big check and then 29 annual payments. Like with the Powerball payout, each Mega Millions check is larger than the year before. If you have a lottery winnings, have another kind or annuity or lawsuit payout, you may be interested in getting that money sooner. You are in luck. There are companies who are in the business of purchasing structured settlements.
While lots of companies are interested in purchasing structured settlements, there is a process that has to be followed. Selling a structured settlement will require permission from the court. They need to know that the seller understands the tax ramifications as well what they are giving up to get cash for settlements. By selling an annuity settlement the seller will get less money from that annuity overall. For many people, this is a better way towards a secure financial future but the court will want to know they understand what they are doing.
Reasons to Sell a Structured Settlement:
- You want to avoid bankruptcy. Some people’s debt is too large to live on just the payments they receive from their lottery winnings or structured settlement. More and more people in the United States are turning to bankruptcy as a way to deal with their debt. While it can be a way to getting a person’s finances back on track, if there is a way to avoid it, it should be avoided. Few things show a responsible reason to sell an annuity like the desire to avoid filing for personal bankruptcy.
- You need to pay medical bills for yourself or someone else. The United States is the only industrialized country where people file for bankruptcy because of large medical debt. If you or a loved one is facing large medical bills and needs treatment, getting them that care is another responsible reason to look for companies purchasing structured settlements. This is one of the best reasons to sell an annuity or lottery winnings.
- You want to pay for someone’s education. Few people do not see the value in a college education. Experts all say that having at east a bachelor’s degree is a great way to improve a person’s earning prospects for the long terms. The problem is that college degrees are expensive. If you are receiving payments from a structured settlement, you are most likely not eligible for financial aid. Being able to complete college without incurring any student loan debt is a wonderful thing. You can use your money to finish your degree or send someone else to school.
- Start a new business. Have you always dreamed of opening your own business? Many people in the country have. One problem entrepreneurs face is not having enough start up capital to make their businesses work. If you sell your structured settlement you can make sure you open your business the right way and give it every chance to succeed. This is another great and responsible reason to sell a structured settlement.
- Get your dream home. Another way to secure your financial freedom is to pay off your mortgage or buy a home without taking one out. This is a cheaper way to go (you save a lot in interest) but is a great way to buy a house. You may get a better deal, too.
Most people who enter an agreement with a company specializing in purchasing structured settlements are happy they did it. More than 92% of people who have sold these settlements say that it worked out well for them. Only you know if this is the right decision for you and your family. Do your research and talk to your family and you will make the right decision.