Best Rated Structured Settlement Loan Companies 2020
Best Rated Structured Settlement Loan Companies – About Structured Settlement Loan Companies, How to Identify a Well Structured Settlement Loan Companies, Concise details about Cash for Structured Settlement and More. Keep Reading.
Structured Settlement Loan Companies
Before we get started, let me quickly drive you towards the full meaning of Structured Settlement.
A settlement is basically a reward that a defendant wins in case of winning a lawsuit. The term structured settlements means splitting this amount of reward into specific periodic payments. This settlement allows the payee to receive a certain fixed amount of money for every month or year over a specific period of time which can range from a few years to decades.
However, before making plans to sell your annuity or structured settlement to a factoring company, it’s pertinent to evaluate its history and ratings and the quality of its offer.
Now, the question is;
Who Will Buy My Structured Settlements?
If you’re interested in selling the right to your future annuity or structured settlement payments, a business called a factoring company may be interested in buying it in exchange for a lump sum of cash.
Factoring companies and individual investors who buy your structured settlement form the secondary market, which is highly regulated because the industry is so competitive. Sellers should consider several factors, including the quote offered and customer service record of a company, before choosing a company to buy their structured settlement.
How Do You Find the Best Structured Settlement Buyer?
A simple search on the Internet will reveal numerous annuity or structured settlement, buyers. There are many factors you should consider to choose the right one.
High-quality, trustworthy firms you consider should:
- Provide helpful customer service representatives and multiple ways to get in touch
- Make a competitive offer
- Present options for an immediate cash advance
- Be licensed and follow appropriate regulations
- Have a positive rating from the Better Business Bureau
- Offer a clear timeline for when you will receive money
- Have a proven record of customer satisfaction
- Demonstrate complete familiarity with state laws
- Provide transparent disclosure of contract information
- Recommend you to speak with a lawyer or accountant before making a decision
- Have positive customer reviews online or with their local Chamber of Commerce
- Have a low denial rate
- Show stability and financial health, as evidenced by a large number of structured payment purchases
You should never feel rushed, confused, or taken advantage of during the selling process. If you do, it may be a red flag that you should not work with a certain factoring company.
Hiring a broker may help you through this process. Similar to a realtor’s role when you sell a home, a broker will help you sell your annuity for the best price, recommend annuity buyers they’ve worked with previously, and explain and complete paperwork on your behalf.
If you decide to hire an annuity broker, make sure to ask about their brokerage fee and confirm they are certified and licensed.
Finding the Best Structured Settlement Quote and Keys
A key part of choosing a buyer for your annuity is how much they offer to pay you for the right to receive your future payments. Getting a quote is free and can easily be handled over the phone.
When you sell your annuity, it is subject to a discount rate, or the amount you are willing to discount your total annuity worth by in order to get cash now.
How do Buyers Develop Structured Settlement Quotes?
Buyers evaluate a group of ever-changing factors to give you a quote, including:
- How much money is in your annuity
- When your annuity payments are due
- The number of payments you want to sell
- Current market rates
- The rating of the insurance company that issued your annuity
- Cost of fees or extra charges the insurance company may charge to initiate a transfer
What is the Process of Getting a Structured Settlement Quote?
Getting a structured settlement quote is a bit like applying for a car loan. For a loan, you provide a bank or creditor with financial information and get an interest rate tailored to your situation along with a payment plan.
The process for getting a quote is very similar:
- First, you provide the factoring company with your annuity information. This can be done via phone or online form. Annuity.org also has a calculator to help you determine the value of your annuity.
- Let them know how much of your annuity or how many payments you’re interested in selling.
- The factoring company will write you an offer based on the financial data attached to your annuity contract and current market rates.
- High-quality structured settlement buyers may also offer you a certain amount of cash upfront.
What Should I Ask My Annuity Buyer?
When you begin to vet structured settlement purchasers, don’t be afraid to interview them.
These questions will help identify their expertise and capability to handle your case:
- With what agencies are you certified and licensed?
- When does my free quote expire?
- How much do you offer in cash advances?
- How long have you been in business?
- What fees are associated with your purchase of my annuity?
- How long will the selling process take?
- Will your attorneys take care of the selling process?
Which are the Top 10 Companies?
1. J.G. Wentworth:
This company certainly stands tall at any list of top structured settlement buyer companies. With its 20 years of experience in providing leading and diversified Consumer financial services, this company has maintained its ranking as the number one Structured Settlement buying company in the States.
The company deals in the purchase of structured settlements, mortgage lending, personal and business loans, and prepaid cards.
The company has the A+ score with BBB and a four-star rating from Trust Pilot. This company is based in Pennsylvania since its founding back in 1991.
2. Peachtree Financial Solutions:
This is a Pennsylvania based company founded back in 1996 which helps the seller of structured settlements, annuities, lottery winnings, as well as other stems, lined payment holders.
With its enriched history and broad experience in the market, the company has helped over tens of thousands of customers across the country. This company also ahs A+ with BBB.
This company is based in Boynton Beach, Florida. This firm acts as a mediator between connecting people who want to sell their structured settlements, lottery winnings, or pensions. The company also deals in providing services related to Personal Injury lawsuits.
4. ANFED (Annuities Federal bank):
This company also offers best-structured settlement purchasing offers to its customers. This company in actuality is a division of the Bofl Federal bank which is a publically insured company. The bank deals in the purchase of either partial or full structured settlements or lottery winning since 1999. The company also offers arioso other banking services.
5. Stone Street Capital Structured Settlements Review:
This is one of the oldest structured settlement purchasing companies in the country. The company is incorporated in Delaware with it’s headquarter located in Bethesda, Maryland.
The firm which was founded in 1989 has now almost 200 employees. People who prefer lump sum for their Annuity payments, structured settlements, or lottery winnings; it provides them the best service.
This company was founded back in 2013 and is an online educational portal resource for selling structured settlements. The company is also partners with CBS settlement funding.
This company provides tools and articles of sale and purchase of structured settlements and annuity payments.
After getting the respective knowledge you can get free quotes from their affiliate company. Their affiliate company; CBS Settlement Funding was founded back in 2008 and holds A+ from BBB.
7. Fairfield Funding:
Based in Atlanta, this company was founded back in 2008 and exclusively focuses on the purchase of structured settlements and annuities. The company may be small in its operations but has excellent customer service reviews. Clients have rated their employees to be patient and considerate. The company has not only an A+ rating with BBB but also has zero negative reviews about it.
8. Liberty Settlement Funding:
This is a Florida based company founded back in 2001 but with its successful purchase record has made it on to list of top 10 structured settlement buyer companies.
The main focus of this company’s business is for the purchase of structured settlements and other income sources for providing fair lump sum cash value. The company also deals in purchasing lottery winnings as well as annuity payments.
9. Oasis Financial:
This company is incorporated in Rosemont, Illinois, and is engaged in the business of purchasing either whole structured settlements or portions of them.
This firm also specializes in pre-settlement funding for the clients who are waiting for verdicts in their favor for claims of Personal Injury cases.
10. DRB Capital:
This is a private company that is a subsidiary of DRB Financial Solutions, LLC. The company not only purchases structured settlement and annuity payments on a fair discounted rate but also provide for services of Pre-settlement funding. The company was founded back in 2011 in Delray Beach, Florida, and currently has 150 employees.
Pros & Cons of Selling a Structured Settlement
There are benefits and drawbacks to selling your structured settlement. Here are just a few you should consider:
You get immediate access to your money instead of receiving it monthly over several years.
The lump sum of your settlement retains the same tax status as your initial settlement. An insurance settlement is tax-free – so, too, are the proceeds from selling one.
You can sell a portion of your settlement without depleting the entire annuity.
When you sell your structured annuity, you give up future value for present gains. Structured settlement companies take into account the depreciation of future earnings and apply a discount rate to your settlement (more on that below). What this means is for a $100,000 settlement, you can expect to receive anywhere from $30,000 to $50,000.
It can sometimes take months for the paperwork to be completed and for a judge to approve the sale. If you need money immediately, you may want to look into alternative ways to get it.
If you rely on your structured settlement to pay bills, selling is unwise. You can compromise your income stream and leave yourself at risk for dire financial consequences.