Structured Settlements - Pinellas County, FL

Structured Settlements - Pinellas County

Sell Structured Settlements FAQ

What is a structured settlement?

A structured settlement is a financial or insurance arrangement that consists of periodic payments to a person who has been injured or who has had some other type of damages. The injured person accepts the payments as part of a final court decision or to settle a court case or personal injury lawsuit.

Why do people sell structured settlement payments?
Lots of reasons: sometimes people need money to pay medical bills, education expenses, credit card debt, even home improvements. Sometimes life takes unpredictable turns and selling some or all of your structured settlement payments can be a useful tool to get back on track.

Do I have to sell my entire settlement?

No you don’t. A good structured settlement factoring company will work with you to develop a personalized solution for your situation—and you may be able to sell just a portion of your payments to meet your needs.

How do I find a good structured settlement factoring company?

Ask for references from people you trust. Also check with business, legal and financial trade groups such as the National Association of Trial Lawyer Executives (NATLE) and attorney organizations like the Consumer Attorneys of California (CAOC).

When comparing structured settlement factoring companies, compare the level of service you receive and the company’s business practices:

• Does the company keep its timing promises?
• Make unrealistic promises about when you will get the funding?
• Make a lowball offer and then increase the amount if you get a better offer?
• And does the company make smart marketing decisions for itself by limiting expensive TV advertising? Keep in mind: if it keeps its own costs low, the structured settlement factoring firm is able to pay you more money.
• Above all, does it treat you fairly and with respect?

Is it a problem if someone has already sold payments to one company and wants to sell more payments to a different company?

Not at all. If you feel more comfortable and confident working with another company, then do it —no problem.

Are there hidden fees in the sale of structured settlement payments?

Nothing should be hidden from you. There are legal and processing fees. But a reputable structured settlement factoring company will let you know about all fees associated with the transaction and will pay the amounts themselves.

Do I need good credit to qualify?
No. Most companies will work with you regardless of your credit score.

Is this transaction a loan?
No receiving a lump sum for your structured settlement payments is NOT a loan. You are selling your monthly or annual payments for a single, lump sum amount.

Are there laws that regulate the sale of structured settlement payments?

Yes, there are federal and state laws designed to protect individuals who want to sell their structured settlement payments. The federal law makes it necessary to obtain court approval and to also comply with any and all state laws regarding the sale of structured settlements.

Does the sale need to be approved by a court? Why?

Yes, the sale needs to be approved by a state court before it can be funded. Why? Because it’s required by both the federal and the state laws.

Will I need to appear in court?

You might. But don’t worry. A qualified structured settlement factoring expert will let you know if you need to appear in court. And will help you prepare so that you will be ready for the hearing.

Do I have to hire an attorney?

Depending on where you live, you may have to get Independent Legal Advice. These states actually require you to consult with a legal professional: Alaska, Delaware, Louisiana, Maine, Maryland, Minnesota, North Carolina, and Ohio. Otherwise, it’s up to you. But a reputable structured settlement factoring expert would suggest you speak with a legal professional.

What is the process of selling my Structured Settlement?

You want to follow a logical, thoughtful process to protect your financial interest and remove any potential hassles or delays. If your structured settlement factoring expert is looking out for you, he or she will make the transaction as easy as possible. Your structured settlement expert should:

• Take the time to understand your current and future needs.
• Customize your transaction to your specific situation.
• Encourage you to obtain legal advice before signing the contract.
• Go to court to obtain approval for your transaction.
• Obtain a copy of your court order after approval to make sure everything is set to fund your money.
• Coordinate with the insurance company making the payments.

How long will it take to go through the whole process?

Depending on where you live, the pros can get you your money in as little as 3 weeks. But most transactions take between 60 and 90 days from the time you submit all of your paperwork. Check with your structured settlement representative for a specific estimate of the timing in your state.

Is there a way I can get an advance before the closing?

If you have a good relationship with your structured settlement factoring company, and they are a solid business, you may be able to get an advance.

How long after the court approval will I be funded?

The most experienced, professional structured settlement factoring companies fund you soon after receiving a copy of the court order. Every company is different, of course, but the best ones review your documents and ensure your file is complete and ready for funding. Be sure to ask your structured settlement representative for a specific timeframe for your funding.

How will the money be sent?

Most companies wire your money. But a good company will accommodate your preferences.

How will I receive and send back documents?

Your structured settlement partner should make the process as easy as possible for you. So be sure to let him or her know if you prefer prepaid courier, fax, or email.

Do you need a copy of my policy or a benefits letter from my insurance company?

Yes.

What documents will I need to provide?

A thorough structured settlement factoring company will send you a checklist of required documents. At the very least, you will need:

1. Current contact information
2. Photo ID
3. Policy or a benefits letter from your insurance company
4. Disclosure statement
5. Sale agreement
6. Wiring instructions

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This educational content is for educational purposes only and does not constitute legal, financial, home improvement or health advice. Content on this page is provided by Ask The Experts and not the featured advertiser.