People often ask, “how to sell my structured settlement for cash?” Selling a structured settlement is a natural process if you follow our guide. Before you find “how to sell my structured settlement for cash,” you should know about the structured settlement. When you hear the word structured settlement, the first thing you think of is a tragedy. Tragic incidents have become a part of our lives. A structured settlement applies to civil cases. In this guide, you will not learn how to sell my structured settlement for cash, but you will also learn many things related to a structured settlement.

In the above paragraph, we talked about the tragedy. That is because tragedy accidents are the source of a structured settlement. It means that some tragic incidents happened, which lead to a structured settlement. Without any doubt, no money can replace someone’s health, but it is the best thing that the wrongful party can do. In simple words, to make things right, the wrongful party can pay for the damage done to the injured party. This can help that person with financial issues since that person is injured, and his/her family requires money. Keep on reading to find more about the structured settlement.


What is a Structured Settlement?

To make things simple, let us create a small scenario. Imagine a doctor performing surgery. We all know how critical is the position of doctor. A slight mistake can lead to the demise of the patient. The work of the doctor should be flawless.

On the other hand, we all are human, and so are the doctors. We all are imperfect, and neither we were made to be perfect. That doctor has an experience of twenty years and performed more than one hundred surgeries from his first day. However, in this surgery, he made a small mistake. This little mistake leads to the patient’s death. Even with twenty years of experience, the doctor made a small mistake.

The patient has now died, and all because of that mistake. That is a significant loss, what can the doctor do to make things better? Well, he can pay the demise’s family. There is no doubt that money will not bring the dead person back, but it is the best thing that he can do.


What can the doctor do?

In simple words, the doctor decided to support the family of his patient with financial aid. Now he has two decisions, either he can pay the family with a lump sum amount or pay through a structured settlement. In case of the lump sum, he will be paying the family one time, but the amount will be huge, let us say $100K. However, not everyone can afford to spend that much money in a lump sum unless you are Jeff Bezos or Mark Zuckerberg. That is why people decide to go for a structured settlement because it is more accessible to pay to the injured party.

So, the doctor decided to pay the family through a structured settlement. It means that he will be paying a fixed amount of money in a scheduled manner. Let us say that he will pay $30K after every month to that family for the next thirty years.


Advantages of Structured Settlement


So, a structured settlement is a stream of cash paid to the injured party (who settled or won a lawsuit). The flow of payments will be paid in a scheduled manner. There are many advantages of the structured settlement. The most significant advantage is that it is a tax-free payment. It means the government will not charge a single penny from these payments. That is why many people prefer structured settlement over lump sum because of this advantage.

Furthermore, structured settlement acts like financial security. The fixed amount of payments will help you to prevent spending it quickly. When people receive a lump sum, the biggest problem is that they spend it immediately, and then their bank account becomes empty. However, in the case of a structured settlement, you will get a small part of the total money in a scheduled manner so that you do not spend all money quickly.

In the case of wrongful death, the demise’s family will receive the payment for their entire life. This is like financial support to the demise’s family to cover up the mistakes. If we talk about bonds or mutual funds, they all fluctuate with market changes. This is not the case of a structured settlement. In simple words, no matter what happens to the market, the payments will not fluctuate. The insurance company guarantees the amounts received by the injured party. Last but not least, oftentimes, structured settlement yields more than a lump sum payment.


Why Do People Prefer Lump Sum Over Structured Settlement?

Many people in the U.S. prefer a lump sum over the structured settlement. As a matter of fact, “sell my structured settlement for cash” is one of the most targeted keywords on different search engines. The question is, why optioning lump sum over structured settlement? Keep on reading to find it out.

The most significant difference between lump sum and a structured settlement is that if you choose a lump sum, you will get a one-time payment. That payment will be substantial in amount. However, do note that the payment will be only one-time and that is it. In a structured settlement, you will receive payments in a scheduled manner. It will continue for an extended period, and, in some cases, a structured settlement continues even after the demise of the injured person.


Why Lump Sum?

If you are looking for “how to sell my structured settlement for cash,” then you should know about lump sum. The main reason for voting for a lump sum is the amount of money. Let us say if someone offers you one million dollars or five hundred thousand dollars per year, which one will you choose? Most of you will select one million dollars because we all are impatient. We all want to achieve everything in less amount of time. Of course, everyone wants their bank account to reach million as soon as possible.

In a few cases, voting for a lump sum is legitimate. For example, your loved one needs immediate surgery, and you do not have the money for it. A case like that requires payment in the lump sum amount. That is why people keep searching on how to sell my structured settlement for cash? Do not worry, after reading this guide. You do not need to search on how to sell my structured settlement for cash.


How to Sell a Structured Settlement?


One of the biggest misconceptions is that selling a structured settlement is a hectic process. As a matter of fact, it does not require much effort. You can quickly sell your structured settlement, but on the other hand, you need to be patient. What is the crucial factor in selling my structured settlement for cash? It is time. The more time you spend working on it, the better will be the result. In a few cases, you might have a little time because you need the money urgently and that can be an exception.

On the other hand, if you have time to spare, then spend it wisely. Deciding on haste might not result in a good outcome. Let us talk about how to sell my structured settlement for cash.


Rethink Your Decision

Selling a structured settlement is a huge decision. It is like you are going to sell a lifetime income for a considerable amount of money. That is why you must rethink your decision. The best way to rethink is to look at your situation. Ask yourself, do you require the lump sum amount? You will be surprised to know that people actually make decisions in haste and then regret it for the rest of their life. Do not be one of them. You can also take advice from your loved ones to come up with a decision.


Researching Buyers

Let us assume that you thought about it a lot, and you came up with the decision to “sell my structured settlement for cash,” the next step is to find potential buyers. This is the base of selling a structured settlement. The task is to find as many buyers as you can near your location. The more buyers you will research, the more options you will get, and who knows you might get a fantastic offer? The best way to research a buyer is through the internet. Take out your laptop or MacBook, open your internet browser, and search for potential buyers. We recommend you get at least two buyers on your list.


Getting a Free Quote

The next step is to get a free quote from the companies that you researched in the previous step. Take out the list of all buyers and then start sending out emails or call them. Make sure that those buyers offer you a free quote. Getting a free quote is okay, do not feel shy to ask a free quote. Furthermore, you can also tell them that you are getting a free quote from different buyers. There is a small chance that some of them will offer you a reasonable price after hearing that you are getting free quotes from other buyers.


Analyze Data

To “sell my structured settlement for cash,” you need to analyze the data that you collected in previous steps. The purpose of this step is to find which company gave you the best quote for your structured settlement. Of course, you will not get 100% of the structured settlement because of the discount rate.

What you will be analyzing is the discount rate. You should look for a buyer who provides fewer discount rates and a good rating. A discount rate is a difference in the selling price of the structured settlement from the worth of your structured settlement. It means that the lesser the discount rate, the more money you will get.



After analyzing the data and choosing the right buyer, now it is time to finish the paperwork. Of course, you cannot “sell my structured settlement for cash” without the paperwork. You will get documents from your insurance company, and you need to sign it. Signing those documents means that you agree to sell your structured settlement to a third party. Before signing the papers, make sure you read all the terms and conditions.

After signing those documents, you also need to attach a copy of your structured settlement agreement. In case if you lost your structured settlement agreement, you could contact your insurance (which issued your structured settlement). You need to place a request, and after a day or two, you can receive a copy of your structured settlement agreement.


Getting Approved

Last but not least, you need to get your request approved in a court. It means that you will be summoned in front of the court. The objective is to convince the judge that the decision of yours is best for you. When the judge accepts your request, now all you need to do is wait.

The whole process can take 40 – 90 days. In a few states of the U.S., the buyer needs to submit a professional assessment of the sale. However, in other states, you will be given a “cooling period.” The purpose of providing a cooling period is for the sellers to rethink about their decision. For additional information, you should contact a financial advisor. He/She will inform you of any unique law in the state you are living in.



One of the most frequent search engines is “How to sell my structured settlement for cash?” That is why we made this guide so that you can quickly sell your structured settlement. Always remember, you should think about this decision twice before you act. Selling a structured settlement is easy, but it is a huge step. Of course, you do not want to take any action you will regret for the rest of your life.




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