How to Sell Your Structured Settlement
Complete guide to selling your future payments for cash
9-18%
Discount Rates
20-40%
Typical Value Loss
8-12 wks
Processing Time
Required
Court Approval
Step-by-Step Process
Get Multiple Quotes
Contact at least 3 factoring companies. Each will offer different discount rates. Don't accept the first offer—rates can vary significantly.
Compare Offers Carefully
Look beyond the cash amount. Consider the discount rate, fees, and any hidden costs. Ask for a detailed breakdown in writing.
Accept an Offer & Sign Documents
Once you choose a company, you'll sign a purchase agreement. Read everything carefully before signing.
Court Hearing
Federal law requires court approval. A judge will review whether the sale is in your best interest. You may need to attend in person or appear virtually.
Receive Your Cash
After court approval, you'll receive your lump sum within 1-2 weeks. Total process: 8-12 weeks from start to finish.
Reasons to Sell
- Urgent medical expenses or debt
- Investment opportunity with higher returns
- Down payment on a home
- Starting or funding a business
- Education expenses
Reasons to Keep
- Significant loss of value (20-40%)
- Tax-free payments continue over time
- Guaranteed income vs. risky lump sum
- Protection from spending too fast
- Family may depend on regular payments
Before You Sell, Consider:
- • You will lose 20-40% or more of your settlement's total value
- • Once sold, you cannot get those payments back
- • Structured settlements are tax-free; lump sums may have tax implications
- • Seek advice from a financial advisor before making this decision
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This guide is for informational purposes only. Consult a financial advisor before making any decisions about your structured settlement.