Selling Structured Settlements- A Wise IdeaArticle Summary Accidents are common in day-to-day life. The lives of many people are affected due to accident. A person who caused accident will pay cash to the victim through an insurance company.
Accidents are common in day-to-day life. The lives of many people are affected due to accident. A person who caused accident will pay cash to the victim through an insurance company. The amount offered to the affected person is called the annuity, which will be agreed to be paid in certain period of time. The agreement to pay structured settlements will be made through court. In most of the cases the annuity settlements will be made in instalments at a regular period of time. At times, the defender will also be made to pay annuity settlements throughout the life time of the plaintiff.
The IRS never taxes the annuity settlement payments and it is guaranteed through the contract made. Since the financial dealing of structured settlement is for long term, the petitioner is guaranteed by the credentials of the one who provides annuity settlement. With the help of insurance company it is also possible to transfer such contracts to third parties.
At times, emergency financial crisis would arise for people who receive annuity payments. One can sell structured settlements at any time. Selling structured settlements will give solution for emergency monetary need. When any emergency fiscal situation arises, the annuity instalment payment will be in no way useful to the plaintiff. One who receives annuity payments also has full rights to sell it. There is no restriction in selling the structured settlements; it can be sold either partly or wholly. But one cannot sell structured settlements without the help of a company that provides financial services. There are many legal processes that govern the buying and selling process of structured settlements. It is a good idea to get the assistance of a funding company that will take you through the process of state regulation. Walking through the legal process will save the rights of both the buyer and the seller of structured settlements. Based upon the total amount that a person will get through his settlements, the funding company will offer certain amount. The documents of the person who sell structured settlements have to be transferred to the company that buys it. Instead of waiting for long years to receive annuity payments in instalments, it is a wise decision to sell it for bulk amount. Though the amount you receive through selling structured settlement is less, you will get immediate remedy for your emergency financial need. Hence it is an ideal decision to sell structured settlements.
Article Source: http://www.articlesbase.com/finance-articles/selling-structured-settlements-a-wise-idea-6033796.html
About the Author
Wish to sell or buy structured settlements? Get advice from http://www.structured-settlements.net/