If you’ve recently been awarded settlement money from the court or from another source, you’re probably finding out the hard way that most settlements are not paid out in one large sum. Conversely, they are typically paid out over long periods of time, with those awarding the settlement usually opting to install payments monthly, or yearly. Think of it like this — if the courts were to award you $12,000 tomorrow, they probably wouldn’t give it to you up front. They would instead prefer to send you $1,000 per month for a whole year. This is called annuity.
With this type of payment system in place, you’re still getting all of your money. You are not, however, getting all of it at once. This can be just as inconvenient or just as difficult to deal with as whatever was causing you to seek damages in the first place! Furthermore, the costs that are sometimes incurred by participating in a trial might far outweigh your earnings, leaving you with the feeling that you never were awarded any money at all. You’re not necessarily stuck with it, though — there are ways to get cash for annuity now.
Luckily there are ways for you to take your winnings, and get cash for annuity now. There are companies that specialize in purchasing structured settlements from people and giving them access to a significant portion of their winnings right away. In an American International Group (AIG) study conducted recently, over 65% of the people surveyed said they would prefer to have a lump sum payment instead of receiving structured payments.
Due to the growing popularity of these “quick cash options” and similar arrangements, both the government and the private sector have stepped up to make the whole process safe and pleasant for consumers. In fact, there are only three states in the United States that currently have no Structured Settlement Protection Acts — they are New Hampshire, Wisconsin, and Washington, D.C.
If you’ve been awarded damages or compensation of any kind, consider that the average household credit card debt is around $7,200. Hypothetically speaking, let’s say you do, too. Cash for a settlement would be a lot more helpful to you if you wanted to eliminate debt, go to school, buy a car, or taking care of any of your other cash needs, wouldn’t it?