Using a Structured Settlement Sale to Pay Down Debt
Faced with high unemployment, a down housing market, and a sluggish economy, more and more American families are struggling today with growing levels of household debt. USA Today reports that a University of Michigan report found a full 20% of Americans owe more in loans, credit cards and other debt than they have saved. While there are many ways to go about paying down debt, a structured settlement sale can be one of the easiest and most effective.
If you’re receiving scheduled structured settlement payments, selling part or all of your structured settlement can be a big plus for your future finances. Using a lump sum payout to eliminate debt can potentially save you thousands of dollars in interest or penalties that you might otherwise accrue over time. Timely debt payment may also keep your credit score from being tarnished. And with so many businesses, even employers, using a credit score as a qualifier, keeping a clean record has a lot of value.
The bottom line is that if you are trying to pay off a big debt in increments without utilizing assets like structured settlements or annuities, you may not be making the most efficient use of these assets.
The good news is that getting a structured settlement approved is fairly straightforward. First, every structured settlement goes through a legal process where a judge must find that the cash payout sought in exchange for future payments is in the best interest of the seller. However this is fairly easy to establish when you are attempting to eliminate credit card or other debt accruing interest at a higher rate than is being charged on your structured settlement transfer..
Even if you have a great reason for tapping into a structured settlement to tackle debt, you’ll get the best results by working with an experienced structured settlement buyer. That’s where CBC comes in.
As a firm that’s handled structured settlement sales for many clients across the country, we know how to navigate the legal requirements and process your transaction efficiently. We’ll keep you involved and informed about your structured settlement process. Let us help you leverage an existing structured settlement to pay down your debt and restore your credit.
Tags: