If you have a structured settlement where you receive your personal injury claim, award, or settlement over time, you may be able to withdraw the money. This process involves selling some or all of your future payments in exchange for getting cash now. It usually takes 45-60 days to complete the sale. In cases of financial crisis, this may be too long.
That's where a cash advance comes in. Structured settlements and annuity payments can generally be sold at any time. You have the option to “withdraw” some or all of your future structured settlement payments. Buyer companies charge a discount rate for the sale of structured settlement payments, which averages between 9 and. RSL Funding helps beneficiaries of structured settlements or annuities obtain the funds they need to avoid financial hardship and potential damage to credit ratings. A structured settlement (cash out) or a lump sum is a viable option that can help people financially without the added stress of having to return the money.
When consulting with those who have structured settlements, RLS Funding takes care of purchasing the settlement for a lump sum. When a person first accepts a structured settlement, they are forgoing an immediate cash payment in exchange for regular future payments. Future payments appear to be better because the total amount of payments (the payment) is greater than a current lump sum payment in cash. But the money of the future is worth less and less (due to inflation). The crucial number is the present value of the structured settlement.
This is the current amount of money needed to obtain the future flow of payments, taking into account inflation and other factors. For example, one hundred thousand dollars per year received over twenty years is a payment of two million dollars, but the current value of the twenty-year payment is substantially less than two million dollars due to inflation. While companies that purchase future structured settlement payments charge a “discount rate” (the functional equivalent of an interest rate), obtaining a lump sum for all or some of their future structured settlement payments is the best option. You can choose to withdraw your annuity with a one-time payment by selling your structured settlement, but you can lose money in the long run. Choosing to collect a structured settlement lump sum is by far a better option than payday loans or other types of loans. A structured settlement sale may take longer due to the required court approval step, which can take 45-90 days. RSL Funding is committed to providing you with all the information you need to know before making any decisions regarding the withdrawal of cash from your structured settlement, annuity or lottery winnings.
Or, if you haven't yet received settlement money, you may qualify for a type of cash advance to cover expenses while you wait. A person with brain injury has the right to resolve their case, to accept a lump sum or a structured settlement payment. This can be a problem if you are facing a high expense that your scheduled structured settlement payments cannot cover. You should also consider whether you can dispense with income from your structured settlement and whether your need for a lump sum is valid and more important than that income. When you decide that the need is large enough to secure a structured settlement cash out, look for information from a proven and trusted company such as RSL Funding. Others don't want to incur any more debt in the form of lines of credit and cards, so they decide to opt for the option of selling their structured settlement payments. You can't borrow against your structured settlement, but you can sell all or part of it for a lump sum of cash.
Since you can't borrow against your structured settlement, selling your future payments for a lump sum can protect you in the long run. You can obtain proof of your structured settlement income from the administrator of the company that is making payments to you.