Smart sellers educate themselves to avoid common pitfalls and potential traps. First-time sellers often feel overwhelmed because of a lack of information available or blatant misinformation that’s available. From determining a reasonable expectation for turnaround time to learning the various payout options, it’s time to get the facts instead of the runaround from your structured settlement funding company.
Bottom line: The road to selling your structured settlement payments doesn’t have to include setbacks. Below are four important points every company wanting to buy structured settlements should listen to their customers…but often don’t.
1. You have several options for receiving structured settlement funding.
Many sellers have been persuaded to sell all of their payments because their structured settlement company advised them to do so. Perhaps the seller was even led to believe that the buyout process was an all or nothing deal. We work closely with our customers to ensure their immediate needs are met and their financial future is protected. Not only do we offer a variety of payout options, including partial buyouts and split payments, but we help you get the most money for the amount you’re selling.
2. You’re required to pay more fees than you initially thought.
Selling your payments to a structured settlement funding company is a big deal, so read the small print in order to understand fully what you’re getting yourself into. Less reputable companies will give you a quote, then nickel and dime you with fees.
3. Getting your money “now” doesn’t mean today, tomorrow, or even next week.
J.G. Wentworth’s “It’s my money and I need it NOW!” TV ads inundate late night programming, tricking desperate people into believing their money is only a phone call away. What they don’t tell you however, is that selling your payments to a structured settlement funding company takes longer than a few days or weeks. The truth is the timing depends on how long it takes for important documentation to be submitted, scheduling a court date, and appearing before a judge. Expect the process to take between eight and twelve weeks, on average.
4. The lump sum of money received must be used to improve your quality of life.
When selling your payments to a structured settlement funding company, be sure that the transaction won’t put a strain on your financial future. Remember, one of the first steps when selling your structured settlement will be to state your case—the judge will determine whether or not selling your payments is in your best interest. Paying off debt, putting a down payment on a home, or putting yourself through college are all valid reasons for needing to sell structured settlement payments.
Before signing away your payments to a structured settlement funding company, it’s imperative to know the ins and outs of the buyout process. Know your rights. Remember that working with a reputable company is a partnership where both the buyer and seller benefit from the transaction.
