How do I avoid being scammed or ripped off when I sell my structured settlement?
There are shady organizations out there that prey on people with structured settlements and purchase payments for far less money than their clients deserve. Some will even mislead customers into thinking that they will be purchasing the payments directly, when in fact they’re acting as middlemen between you and a potential buyer. In those cases, the sales transaction could take a much longer time, and you could receive a lower price than you were quoted.
It’s important for sellers to do their research on any company that they’re considering selling their structured settlement to, including checking their credentials and reading customer reviews.
If you’re considering selling your settlement payments to any business, make sure to ask your sales representative the following questions:
- How many transfers have you done before?
- How many transfers has your company funded in my state and county
- How quickly can I expect to receive my funds after court approval?
In general, you’ll want to find a company with plenty of experience, because they’ll have had experience handling any issue under the sun. Instead of selling to someone who has ten transactions a month in a small handful of places, look for a company responsible for hundreds of transactions in many different states and counties. Also, make sure you’re working with the purchasing company directly—not a sales broker—so that you’re guaranteed to get the price you’re quoted as quickly as possible.