Buy Structured Settlement Payments
Companies Can Still Buy Structured Settlement Payments Part II
Companies that buy structured settlements have to put up with a lot to exist and do what they do. Despite the fact that these companies are now recognized in the structured settlement industry and legislation has been put in place for them to conduct their business in an ethical way, associations like the National Structured Settlements Trade Association (NSSTA) still openly discourage claimants from even considering selling their structured settlement payments.
Like we said in the Part I of “Companies Can Still Buy Structured Settlement Payments”, we understand the impetus for NSSTA frowning upon a disabled claimant from selling their structured settlement payments, but are they considering what your disability is? Or are you part of their movement to get as many disabled people as possible not to sell their structured settlement payments?
Does NSSTA know what you are up against? Do they know why you are even considering selling your payments? Do they know what kind of disability you have?
Legal Benefits for the Structured Settlement Industry since Legislation in 2002
Before 2002, only the first issue of a structured settlement was recognized and defined by the IRS and Congress. The aftermarket (where someone wants to sell their future payment rights for a lump sum of money) for these structured settlements existed, but not with protection from our government.
Not only were consumers getting ripped off, but companies trying to buy these annuities were getting ripped off and investors in these companies were getting ripped off. Now, since 2002, the Structured Settlement Industry has expanded to include the aftermarket for structured settlements (factoring transactions) as well as structured settlements. ”Structured Settlement” and “Structured Settlement Factoring Transaction” are now both defined in the Internal Revenue Code.
There are more structured settlement product opportunities since 2002. In the past, the traditional structured settlement industry was slow to respond with product improvements and education. They were slow to meet the needs of the customer trying to sell: greater flexibility to meet unanticipated future costs.
Now, the Industry can receive a tax break to design a sale of improved structured settlement products. There is mandated education for people of companies that are trying to sell a product (the structured settlement rights) whose payment rights are assignable under federal and state law. And, areas that historically were most used to rip off a consumer, now require close attention by the Courts.
So, any pending litigation will need to be reconsidered. A company wishing to buy structured settlement payment rights will have to do it in another way.
There are no comments yet.