An Up Thrust to Your Finances – Selling Structured Settlements

It’s an inevitable truth of life that without sufficient funds in your pocket, you might find yourself unprotected. Starting from college fees, buying a car, building a house, the first thing that tickles in your mind is having enough resources to pursue the same. Finance is the essence of our economic interests. It is an essential requirement to obtain resources which are required to perform an economic activity.

What We Understand By The Term Finance?

Finance is nothing but an age-old tradition known as Barter system. It does not restrict itself to matters involving money; rather it’s an art to manage resources like assets, investments, etc.

There are times when nothing goes as planned and structural settlement funding can take charge as it might be a productive way of enhancing your finances.

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Structural Settlement

Structured settlement is a process where payments are made on a time-to-time basis after a judgment of legal proceedings. Some percentage of the settlement is paid up-front, while the remaining balance is “structured” over a period of time like monthly, quarterly basis, etc. For better understanding, let’s consider this case of Andrew. He was a worker in a manufacturing firm where his right leg was caught in a machine making him disable to work in the firm. Since the incident happened at the workplace, he filed worker’s compensation suit which he was rewarded with a huge amount of $120,000. It was agreed to be paid by the company an amount of $1000 every month for next 10 years.

Benefits of Choosing Structured Settlement

  • Getting money over a period of time rather than lump sump which creates fewer headaches for family and friends borrowing money.
  • Settlements are usually done out of the court for structured insurance settlement.
  • The money is used on day-to-day life and the constant urge of investing lump sum does not exist.

Obtaining Structured Settlement Funding

Sometimes, life throws up situations where you run out of possibilities and where the only solution is lump sum rather than “structured” payments to take care of current scenario. This might not be a perfect fit for everyone; here people consider selling payments to meet their requirements. But it is required that the case should be presented before a judge to authenticate the validity of your request. Many factors are taken into account from your current financial situation to what is intended.

Top Five Reasons for Selling Structure Settlement

  • To invest money obtained in a new business or financial opportunity
  • To pay college fees for obtaining additional training which might be a requirement to work in a new field
  • Medical bills which many families face when they are not able to cope up with structured settlement
  • To buy a new car to commute from work place
  • Investing in property, stocks, retirement fund, etc

Flexibility is a major characteristic of structured settlement, provided you consider your financial requirements before signing a settlement agreement. Based on your financial needs, you can structure the settlement as little as you want and take rest as cash.