The Inherited Structured Settlement
We often hear from individuals who have inherited an annuity and/or other assets from a family member or close friend who passed away and named them as the surviving beneficiary. Beneficiaries are individuals who are designated as the person who will receive an asset such as a structured settlement or annuity when someone dies. When a structured settlement is inherited, the beneficiary becomes the payee of remaining guaranteed structured settlement payments. The beneficiary can elect to receive the scheduled payments or consider other options.
Structured Settlement beneficiary options
When you inherit an annuity or structured settlement, you have all the same options as the original annuitant. You can continue to receive the periodic payments or you can sell them for a cash lump sum payment. You also have the option of selling a portion of the payments for cash and keeping the remaining payments. This can come in handy if you have an immediate need for cash to pay off debts or funeral costs. Of course, you can sell all of your future payments for a large amount and reinvest part of the lump sum in more liquid assets.
Selling your structured settlement: Getting a quote
When you sell your future structured settlement payments it is important to do your homework. Research a few structured settlement factoring companies with the Better Business Bureau and online to determine if they are worthy of your business. Beware of entities that do not publish a physical address identify its managers or owners. Companies like CBC Settlement Funding, who has an A rating with the BBB, will provide you with a no-obligation quote.
CBC will explain the transaction and provide everything in writing. Be aware of companies that use high pressure tactics or will not put their offer in writing. Read everything before signing to ensure there are no hidden costs. A good structured settlement buyer will encourage you to get tax or legal advice before selling your future payments. Also, when you sell your future structured settlement payments it requires court approval to determine that the transaction is in your best interest. While the statues vary by state, these processes were designed to protect annuitants to ensure they’re receiving a fair amount for their payments.
It’s not hard to sell your future payments
At CBC, we have the experience handling a structured settlement sale or other similar transaction that will make the structured settlement process easy for annuitant. Call us today to discuss all your options.
CBC Settlement Funding