إظهار الرسائل ذات التسميات Structured. إظهار كافة الرسائل
إظهار الرسائل ذات التسميات Structured. إظهار كافة الرسائل
on الجمعة، 4 أبريل 2014
How to Buy Structured Settlements
Structured Settlements is a way to pay is usually used as an 'out of court settlement . Although
used structured settlements in the context of court settlements , there
are many other scenarios where payments are considered an entrepreneur.
For example , an insurance company receives payments from customers that they structured insurance. Or, the lender or creditor receives payments from a structured person who had given an extension of credit .
What are structured settlements ?
Often known as structured settlements in the form of a series of payments made to the prosecutor in the case of a special court , by the defendant . As mentioned above, the defendant pays the plaintiff a series of payments over time . Often made payments to the plaintiff organizer in cases where the defendant is unable to compensate , in terms of a lump sum . Some cases in which they are structured settlement procedure include , personal injury , liability , and harassment and misconduct . Extension of credit from one of the merchants to last , and provide payment, insurance or discount or negotiable instrument in this regard can be completed any transaction legal and moral help of a structured settlement . And sometimes structured settlements as requested by the plaintiff or the recipient , in order to curb the taxable income . Often are traded on the right to get the money as part of a structured settlement agreement in the secondary capital market , in order to meet the urgent need for the plaintiff in cash . There are also many people and organizations who buy the rights of a structured settlement . Some organizations and people have a need for the league and a guaranteed flow of cash. It is here , and many of them prefer to buy structured settlements .
How to Buy Structured Settlements ?
The best way to buy structured settlements is approaching the broker structured settlements . Make sure that the broker is a member of associations such as the National Association of structured settlement or trade association for planners settlement . You can get a list of all the rights of structured settlements that are available for sale .In order to buy structured settlements , you need to analyze 1 need for periodic cash flows , and the importance of cash flow. There is always a large number of structured settlement rights for sale in the capital market . Thus, it is important to analyze the preferences and the amount of cash flow you need each month . Other factors that need to be considered , is that there are two modes of payments , a fixed structure where the amount that is received is the same, and the second type of payment is applied where the interest rate on the annuity. It is always advisable to check the number of installments such as 3 per cent a year for 4 years , one in each quarter . The second factor you need to consider is the value of each purchase structured settlements and put together , and that you will be paying . As there should be as little as possible from the difference in the value of the purchase of all human settlement and the total amounts of all the settlements that are in the collection .
What are structured settlements ?
Often known as structured settlements in the form of a series of payments made to the prosecutor in the case of a special court , by the defendant . As mentioned above, the defendant pays the plaintiff a series of payments over time . Often made payments to the plaintiff organizer in cases where the defendant is unable to compensate , in terms of a lump sum . Some cases in which they are structured settlement procedure include , personal injury , liability , and harassment and misconduct . Extension of credit from one of the merchants to last , and provide payment, insurance or discount or negotiable instrument in this regard can be completed any transaction legal and moral help of a structured settlement . And sometimes structured settlements as requested by the plaintiff or the recipient , in order to curb the taxable income . Often are traded on the right to get the money as part of a structured settlement agreement in the secondary capital market , in order to meet the urgent need for the plaintiff in cash . There are also many people and organizations who buy the rights of a structured settlement . Some organizations and people have a need for the league and a guaranteed flow of cash. It is here , and many of them prefer to buy structured settlements .
How to Buy Structured Settlements ?
The best way to buy structured settlements is approaching the broker structured settlements . Make sure that the broker is a member of associations such as the National Association of structured settlement or trade association for planners settlement . You can get a list of all the rights of structured settlements that are available for sale .In order to buy structured settlements , you need to analyze 1 need for periodic cash flows , and the importance of cash flow. There is always a large number of structured settlement rights for sale in the capital market . Thus, it is important to analyze the preferences and the amount of cash flow you need each month . Other factors that need to be considered , is that there are two modes of payments , a fixed structure where the amount that is received is the same, and the second type of payment is applied where the interest rate on the annuity. It is always advisable to check the number of installments such as 3 per cent a year for 4 years , one in each quarter . The second factor you need to consider is the value of each purchase structured settlements and put together , and that you will be paying . As there should be as little as possible from the difference in the value of the purchase of all human settlement and the total amounts of all the settlements that are in the collection .
The last step is to actually buy a structured settlement (s) and the completion of legal proceedings. It is usually advisable to appoint a lawyer or the lawyer who will oversee the legal paperwork to buy.There are many factors that need to be considered after the purchase of structured settlements , such as income taxes , and follow up with the payer , etc. .Source : hsüan gu
on الثلاثاء، 4 مارس 2014
Structured settlements are used for a variety of reasons.
The most common is to provide financial compensation over an extended
period of time. This could include monetary awards that stem from
lawsuits or to payout lottery jackpot winnings.
Structured
settlements are commonly used to compensate victims of serious
automobile accidents or injuries sustained in the workplace or caused by
the negligence of another such as medical malpractice.
When
monetary awards are provided through structured settlements, recipients
of the funds are referred to as the Annuitant. Payments are guaranteed
through an annuity held by a life insurance company and can be paid
monthly, quarterly, semi-annually, or annually.
Insurance
companies invest annuities to increase Annuitants' financial portfolios.
Annuity payments provided to compensate injury awards are tax-free.
Annuities provided as lottery winnings may be subjected to state and federal taxation.
Considerable flexibility exists when establishing structured
settlements. Payments can be arranged to meet the Annuitant's financial
needs. If Annuitants require special medical procedures, structured
settlements can be arranged to pay additional funds to cover expenses.
Or, if Annuitants will retire within five years, but receives annuity payments
for life, structured settlements can be established to provide
additional funds at retirement. Once structured settlements are in place
terms cannot be changed without court authorization.
The
duration of structured settlements is determined through the courts or
representing lawyers. Medical injury compensation is often settled out
of court. Lottery winnings compensation is regulated by state lottery
boards.
Structured settlement annuities might be paid for a
predetermined time period or for life. However, "life" may actually
refer to a specific number of years based on life expectancy of
Annuitants.
When Annuitants are compensated for a specific
period of time, payments are referred to as 'period certain annuities.'
If Annuitants die before structured settlements are paid in full,
remaining payments can be assigned to a beneficiary.
Annuities
paid for life are referred to as life annuity structured settlements.
Also known as 'period certain', life annuity settlements allow
Annuitants to designate a beneficiary who receives remaining payments in
the event of death.
A less common structured settlement
is known as 'lump sum' annuities. This type of structured settlement
provides a lump sum payment in the future and is well-suited for
settlements involving minor children. The settlement can be structured
as a 'lump sum' which allows transfer of annuity payments to a
beneficiary, or as 'life contingent lump sum' which does not allow
assignment of beneficiaries.
Two additional structured
settlements include 'life annuities' which pay annuities for life, and
'temporary life annuities' which pay consistently for a specific number
of years. With life annuities, Annuitants can elect 'life only' which
offers no provision for assignment of beneficiaries, or 'joint survivor'
which pays one beneficiary for the remainder of their life. Temporary
life annuities end when Annuitants die and do not allow assignment of
beneficiaries.
As you can see, there are many ways to use
structured settlements. If you are entitled to monetary compensation due
to injury or for lottery winnings, consult with a lawyer to determine
which method provides maximum funds and minimal tax consequences.
Structured settlement annuities are complex products, paid out to
injured parties in lieu of one large lump sum. They are unique in that
the the payee never owns the annuity; the defendant's insurance company
does. In the case of a catastrophe like ELNY, the payee's ability to
continue receiving payments is determined by the type of annuity the
insurance company has purchased. The case study below illustrates the
many variables involved.
Structured Settlement Annuities
We are now offering In-Force, Structured Settlement Annuities. These
annuities offer a simple and affordable way for buyers to
meet financial goals, such as saving for retirement or a child’s
education or improving overall returns on a balanced portfolio.
They are not widely known to the general public nor are they generally
accessible. As such, they provide a limited opportunity to
sophisticated investors to invest in safe, fixed return annuities at
superior rates of interest.
Click here to view our most recent offering list.
What is a Structured Settlement Annuity?
A Structured Settlement Annuity ("Annuity") is a contract issued by an
insurance company as part of a structured settlement to fund the
payment of damages for personal injury over a period of time. It
guarantees the holder or annuitant a payment stream over a fixed term at
a fixed rate of interest. Unless otherwise specifically stated the
Annuity is paid regardless of whether the measuring life is alive or
deceased, meaning these payments are NOT life contingent. Structured
Settlement Annuities are sold by structured settlement annuitants to a
broker at a discount in exchange for a lump sum payment. The broker,
in turn, offers these Annuities for resale at a fixed rate of interest
and fixed term to astute buyers such as you.
Who makes the payments?
Each Structured Settlement Annuity that we offer is paid directly to
you by a U.S. based Insurance Company with a credit rating that is
generally AAA to A rated by Standard and Poor’s.
How is the Interest Rate determined?
The interest rate for each Annuity is determined by the market, what a
buyer is prepared to accept as a return on their purchase taking
into consideration the annuity attributes such as the annuity
term, insurance company credit rating, and average life. Generally the
market interest rate is much higher than that offered on traditional
annuities with the same attributes paid by the same insurance companies
directly.
The interest rate for each Structured Settlement Annuity is represented
as an “effective rate”—compounded annually based on a 365 day year.
This is standard practice in the annuity industry. Interest rates are
recorded to an accuracy of 2 decimal places (e.g. 6.14%).
Why are Interest Rates on the Structured Settlement annuities higher than those offered by Insurance Companies Direct?
The rate of return on a Structured Settlement Annuity is typically
higher than the rate available for a comparable annuity purchased direct
from the issuing insurance company for two reasons:
- The Annuity has been “previously owned” with attributes such as payment term, payment amounts and average life that cannot be changed.
- Because the broker purchases the Annuities at discount prices from existing annuitants, it can pass along these preferred rates to its buyers.
What is the typical Structured Settlement Annuity term and investment amount?
The present value of an Annuity generally ranges between $50,000.00 and
$150,000.00 but can be higher or lower. Investments of this size tend
to appeal to high net worth buyers. Terms can range from 1 to 35 year
terms, but are typically 5 to 20 years. They can provide lump sum
payouts, monthly or yearly income payouts, or a combination of both.
What are the Benefits of Investing in Structured Settlement Annuities?
It is generally considered to be a good vehicle for conservative
buyers. Monies are invested by the insurance company primarily
in government securities and high-grade corporate bonds, and they
offer guaranteed interest rates. Because we only offer annuities paid
by insurance companies with among the highest Standard and Poor’s credit
ratings, the annuities are among the safest form of fixed term
financial products available today.
Structured Settlement Annuities can provide above average returns for
the fixed income portion of a balanced portfolio. Because the typical
return of fixed income products is often below average, these Annuities
can boost the overall portfolio performance by enhancing this lowest
performing segment.
What are the Risks?
Like all financial products, Structured Settlement Annuities are not
risk free and every buyer must determine whether a such an Annuity meets
their risk tolerance and financial objectives. The risks associated
with these Annuities are:
- The security of the Annuity is directly related to the financial health of the insurance company that issued the annuity and its ability to pay claims and to the terms of the court order that accompanies each transaction.
- The Annuities are not deposits and are not insured by the Federal Deposit Insurance Corporation (FDIC) or any other federal government agency. They may be partially guaranteed by State Guaranty Associations but we make no representations or warranties in this regard.
- The Annuities are subject to interest rate risk. Market interest rates may rise while the rate of return on the annuity is locked in. Fixed income products with longer terms to maturity are usually more sensitive to changes in interest rates. One method of hedging interest rate risk during a volatile rate period is to build an annuity ladder by buying a series of annuities over an extended period of time thereby rate averaging the changing interest rates.
- The Annuities are monetized in U.S. Dollars. Foreign buyers may be subject to currency exchange risk.
- The Annuities must be held to term and therefore are not liquid investments.
Give us a call for your free informational Buyers Guide or with any
questions you have - we will be glad to show you how this unique product
may benefit your portfolio.
LEGACYNH
Structured Settlement Purchase
Why would a company want to purchase a structured settlement
from a person receiving regular installments in compensation for a
personal injury? The answer is clear: the company is guaranteed a
steady, safe cash flow that is generally not taxable in return for a
lump sum of money of about half the value of the full-term settlement.
When companies buy a structured settlement they are always getting the
better end of the deal, no matter how appealing the quick cash may seem
to the seller. These companies are generally not out to make life better
for injured persons, but instead are seeking to profit from those
persons' pressing financial needs or eagerness to be free from what may
seem to many like an allowance. This is why persons wishing to sell
settlements need to be very, very careful about who they sell those
settlements to.
First of all, exactly what are structured
settlements and how do such arrangements work? When a person wins a
lawsuit based on worker's compensation, personal injury, or medical
malpractice, often the court will rule that compensation be paid in
installments, either in small, regular amounts or a few lump sums over
the years. Often, these payment plans will cease upon the death of the
payee, whether or not there are dependents involved. Before accepting a
compromise, injured persons need to work closely with lawyers to ensure
that the settlement is going to benefit them to the fullest possible
extent in order to prevent future financial distress and the loss of
well-deserved compensation. This careful planning will prevent the
undesirable necessity of finding a company to purchase a structured
settlement from its possessor when he finds that waiting for a monthly
check isn't a tolerable system.
If, however, a person has
already settled a legal case and finds that the periodic payment plan is
not working for him or decides that larger amounts of money are needed
immediately in order to purchase medical equipment, a customized vehicle
or home to accommodate injuries, or similar items, or does not expect
to live long enough to benefit from long-term compensation, may want to
consult various companies that offer to buy a structured settlement.
Such companies will allow him to sign over annuities in exchange for
immediately accessible cash. Persons considering this option should know
that while their annuities are not subject to taxation, the lump sum
received from a third party may very well be, causing them to lose even
more well-deserved money. This is a decision that requires long, hard
thought and should not be entered in to hastily or lightly, as its
consequences can be disappointing at best and catastrophic at worst. If a
person is confident in his investing and money-handling skills, he
might be able to pull off the sale of his annuities aptly, but this is
not always the case.
In general, this option is a very bad investment decision, as it is possible to lose up to half of one's settlement money in the process. Plus, persons on a periodic payment are often unable to work and need the regular installments to meet their daily needs; if these payments cease and the person is unable to support himself by working due to injuries, his financial need will be much greater than before a company agreed to purchase a structured settlement from him. A Biblical proverb sums up this situation very well: "The simple inherit folly, but the prudent are crowned with knowledge" (Proverbs 14:18). This is a financial decision that could end in folly, especially if rushed into without sufficient forethought and good legal advice.
If a person is absolutely sure that finding a company to buy a structured settlement from him is the most viable option, there are a few ways to ensure that the owner receives the very best deal. First, he should compare quotes at different settlement companies to see which is going to give him the highest payoff with the fewest risks; many online companies allow customers to get a free quote over the Internet. Next, he should be sure that the chosen company has a good reputation for paying its customers in-full and on time and that it is well-funded, licensed, and insured so that it doesn't go bankrupt and leave him with nothing. After selecting a trustworthy company, the person should consult a lawyer to ensure that proceedings are in his favor and that the sum received in return for annuities is reasonable and fair; he may choose to sell the entire settlement or only a part of it--the latter, of course, is the best choice. By following these steps, selling one's settlement may be a safe, prudent, and beneficial option for a person in financial distress.
It is important to know that selling one's annuities is not always a possibility. About one-third of states have laws that do not allow businesses to purchase a structured settlement, and some insurance companies are not willing to transfer annuities to another entity. In this case, a person will have to find another solution for their financial needs besides selling. Persons who are unsure whether their state of residence restricts such sales should consult a lawyer for advice. For the other two-thirds of the country, however, finding a company to buy a structured settlement is a feasible, if not advisable, option--a last resort for the financially stressed, sure to offer immediately accessible funds in a very short time frame.
In general, this option is a very bad investment decision, as it is possible to lose up to half of one's settlement money in the process. Plus, persons on a periodic payment are often unable to work and need the regular installments to meet their daily needs; if these payments cease and the person is unable to support himself by working due to injuries, his financial need will be much greater than before a company agreed to purchase a structured settlement from him. A Biblical proverb sums up this situation very well: "The simple inherit folly, but the prudent are crowned with knowledge" (Proverbs 14:18). This is a financial decision that could end in folly, especially if rushed into without sufficient forethought and good legal advice.
If a person is absolutely sure that finding a company to buy a structured settlement from him is the most viable option, there are a few ways to ensure that the owner receives the very best deal. First, he should compare quotes at different settlement companies to see which is going to give him the highest payoff with the fewest risks; many online companies allow customers to get a free quote over the Internet. Next, he should be sure that the chosen company has a good reputation for paying its customers in-full and on time and that it is well-funded, licensed, and insured so that it doesn't go bankrupt and leave him with nothing. After selecting a trustworthy company, the person should consult a lawyer to ensure that proceedings are in his favor and that the sum received in return for annuities is reasonable and fair; he may choose to sell the entire settlement or only a part of it--the latter, of course, is the best choice. By following these steps, selling one's settlement may be a safe, prudent, and beneficial option for a person in financial distress.
It is important to know that selling one's annuities is not always a possibility. About one-third of states have laws that do not allow businesses to purchase a structured settlement, and some insurance companies are not willing to transfer annuities to another entity. In this case, a person will have to find another solution for their financial needs besides selling. Persons who are unsure whether their state of residence restricts such sales should consult a lawyer for advice. For the other two-thirds of the country, however, finding a company to buy a structured settlement is a feasible, if not advisable, option--a last resort for the financially stressed, sure to offer immediately accessible funds in a very short time frame.
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