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Settlement Explained
Buyer Of Structured Settlement Annuity:
A Good Investment
If you’re looking for an investment vehicle that’s
a little different you may want to consider becoming a buyer of
structured settlement annuity.
Structured settlement is essentially
when one party is awarded an amount of money which is paid out
over a designated period of time. Commonly the result of an insurance
settlement this kind of payout can be to a buyer’s advantage.
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You see as a buyer of structured
settlement annuity you would come in and rescue the injured party
from regular annuity payments that don’t meet their needs
or desires. You step in and give them an agreed upon lump sum.
Many structured settlement recipients soon come to realize that
they could make better use of their money if they had it all at once
instead of waiting for their payments to be doled out.
Being a buyer of structured settlement annuity also means that you
often have to wait many years for your investment to pay off in full.
With this kind of investment you also need to have the available
cash flow to make a huge financial payout upfront.
However as a buyer of structured
settlement annuity the return on your investment could be huge.
Let’s look at some figures to
give you an example of a potential buy-out situation.
Let’s assume John is
awarded a $500,000 injury settlement which is paid out as $50,000
annuity over ten years. He can no longer work in his chosen profession
since he no longer has mobility in his legs. Now bound to a wheelchair
he has large medical expenses as well as a two story home that
is not wheelchair accessible.
John has a problem. The structured
settlement payments he receives as the result of his injury is
not enough to pay off his all his medical bills without interest
plus he doesn’t have the funds
to make the necessary changes to his home to make it wheelchair friendly.
And, even though a bungalow with a wheelchair ramp would make more
sense he could not afford to buy a new home better suited to his
current needs.
In John’s situation a
buyer of structured settlement annuity would be just what he needs
in order to pay off his medical bills in full and to be able to
purchase a new residence and/or make a home wheelchair accessible.
As a buyer of structured settlement annuity you could offer John
say $150,000 or even $200,000 in cash to pay off his medical bills
and acquired appropriate housing. Over the period of ten years you
would stand to make either $350,000 or $300,000. Not a bad investment
over the period of a decade.
Now please know that becoming
a buyer of structured settlement annuity doesn’t come without
a lengthy process and lots of paperwork. The process involves much
more than just the structured settlement recipient and his or her
insurance company. You also need the services of a lawyer and a
judge.
Are you interested in becoming
a buyer for structured settlement annuity, but aren’t sure where to begin? Consult with a structured
settlement company who will help you locate all the resources you’ll
need to turn a good profit.
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