There is much to bear in mind when first learning how to buy structured settlements. Chief among them is learning how to buy structured settlements based on your unique needs – be it your financial situation, where you reside, what you hope to achieve in the purchase and more.
Below are a few easy tips and tricks on how to buy structured settlements. First and foremost, you’ll want to choose a well-established broker. You should also only work with a financing firm that’s affiliated with the NSSTA or National Structured Settlements Trade Association. Third on the list is to find the most competitive rate that meets the above criteria. Brokers worth their weight should be able to offer a free quote, no questions asked.
Avoid those that insist on charging for said quote. Another great resource for learning how to buy structured settlements is an attorney. They’re invaluable for reviewing the agreement you draw up with your broker, too. Bottom line, they can help to protect you from bad deals, sketchy deals, sketchy salesmen type brokers and legal violations – all before they come home to roost.
Lastly, here are a few more pearls of wisdom to keep in mind as you learn how to buy structured settlements. For starters, ask them for references and then check those references to see if their working relationships are the kind you’d like to have with them as well. Second, make sure your broker is insured and has a license and is bonded. You don’t want to be the nightmare story told time and time again about when a broker runs off with your money. Plus, when you go with a broker that is insured, you’ll get your money even if the broker goes bust. Do not forget structured settlement loans too.
Thirdly, talk to your accountant on how to buy structured settlements. In some states, it might actually be required. While it might seem like a chore, it’s important to keep in mind that in major financial transactions like these, an authority on all things taxes, even a judge, might need to look over your financials and tax obligations before you can move forward. What’s more, you might need to seek out formal approval for the sale of the structured settlement beforehand. Neglect this important step and you could receive a bill by way of a penalty or tax above and beyond what you already owe the IRS and state tax authority.