If you are new to selling structured settlements, the process will be alien to you. There are legal and paperwork mountains to climb.
Direct Settlement removes the pain from this process. Contact us for more details of these ten steps between you and your cash.
Shop your settlement to several different companies to ensure you get the deal best suited to your needs.
Check the companies with the Better Business Bureau. If there are several BBB complaints, one of the reasons could be that the company has canceled before the court hearing. Some companies offer a high payout to get your settlement, then cancel because they are not willing to honor the deal.
If you feel comfortable with the deal and are confident that the company you are dealing with is reputable, accept the cash offer.
Fax your settlement agreement, annuity policy or letter from your beneficiary to the company handling the transfer so that payments can be verified.
In a short time the company will courier your documents via Federal express or a type of notary service to you for signing.
In some states an IPA, independent professional advice, is needed to complete this step. An IPA can be an attorney, a financial planner or some other type of professional able to give you sound advice on whether this transaction is in your best interest. Financial planners often obtain quotes from several companies to make sure this is the best possible deal for you.
Many states have a cooling off period. Usually three to ten days during which time you can cancel the agreement. The company arranging the transfer must wait until this period is over before proceeding with the transaction.
The company handling the transfer will request a letter from the insurance company to verify payments and that you have the right to sell.
Your insurance company may send this document to the transfer company directly, but usually the document is sent to you by mail and you then forward it to the transfer company.
Once the payment stream has been verified, the transfer company hires a local attorney that will submit the documents to the local court system.
Most reputable companies will cover the cost of this, but some unscrupulous companies will take this amount out of your final payout when you're selling structured settlements. Make sure you deal with a company that does not charge legal fees.
It usually takes three to five weeks to schedule a hearing. You will be notified by certified mail as to your exact court date.
You will be required to appear before a judge, who will determine if the transaction is best for you.
The judge will examine the discount rate, employment, prior transactions and your reasons for selling before making a decision.
If the judge approves of the transaction, the order is signed.
After the order has been signed it is sent to the insurance company for acknowledgment that the payments have been transferred.
Once the insurance company acknowledges the order, the transfer company sends you your money.
If you have any further questions about the process of selling structured settlements, please contact Direct Settlement. We'll be happy to guide you through the process, or address any concerns you may have.
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You can also cash in Annuities