Many annuitants opt to sell their structured settlement payments and receive a lump sum.
There are a number of advantages associated with a structured settlement agreement, not the least of which include the elimination of court costs and legal fees, yet this arrangement can also pose some problems for the annuitant. With a structured settlement an annuitant receives periodic payments that can be spread out over a significant period of time.
Because the payments from a structured settlement are spread out an annuitant never has a large source of money with which they can invest, buy a home, pay off educational expenses, etc. Rather than settle for this kind of arrangement many annuitants opt to sell their structured settlement payments and receive a lump sum.
While this decision can be financially prudent there are certainly things that an annuitant should know before selling structured settlements. At the top of that list is the fact not all companies offer the same lump sum payment amount. In fact many companies are nothing more than brokers willing to buy structured settlements and then selling those settlements to a financial institution for a profit.
Annuitants can avoid this scenario by dealing directly with a financial institution like AnFed Bank, the only bank designed to serve the unique needs of structured settlement annuitants. As a division of BofI Federal Bank, a federally chartered, publically traded and FDIC insured bank, AnFed Bank can offer annuitants what their structured settlement payments are truly worth, giving them a larger lump sum payment.
If you have a structured settlement and you are looking to sell all or part of your future payments request a free consultation with AnFed Bank and find out how you can get what your payments are really worth.