Understanding Your Quote
After your Account Executive has the information they need about your structured settlement payments, they’ll offer you a quote. Here’s what to expect.
Common Questions About Lump Sum Offers
After speaking with you, your account executive will prepare one or more quotes that offer options for meeting your financial needs. Your account executive will explain the offers and answer any questions you may have. You may find it helpful to review the answers to some common questions before the call.
What Is a Structured Settlement Payment Purchase Quote?
When your account executive gives you your quote, you can expect to receive the following information:
Your Lump Sum
Your lump sum is the amount of cash we’re offering you to purchase your future structured settlement payments. Since every structured settlement is unique, there might be a variety of ways we can get you the lump sum you seek.
The Payments You Are Selling
In many cases, you will not have to sell all of your structured settlement payments to get the cash you want. Instead, you may only need to sell part of them. Your account executive will explain what payments you are selling in exchange for your lump sum.
The Aggregate Amount of the Payments You Are Selling
Your lump sum will not equal the total amount of your payments if you were to add them all up. Your account executive can relay the total amount of the payments you are selling in exchange for the lump sum.
Why Am I Not Getting The Total Combined Amount Of My Future Payments?
When we offer to buy your future payments, we are not cashing out your structured settlement. We give you a lump sum in the present, and then we wait to receive the future payments rather than you. This means that if we buy a payment 10 years in the future, we receive that payment in 10 years. In most cases, the value of receiving a dollar today is greater than the value of receiving a dollar in the future. In finance, this is known as the time value of money The concept that money available at the present time is worth more than the same amount in the future due to a variety of factors. .
Cash you have today has an exact value. You know what you can buy with it and how far each dollar will go. You don’t have that same certainty with the value of cash in the future. Having $50,000 in the 1980s would have bought a lot more goods than it does today. Figuring out the value of future cash in today’s dollars will give you its net present value , which is explained in this video:
Why Do I Have Multiple Quotes?
If you’re not selling all of your structured settlement payments, there may be a few different ways you can get the lump sum you need. When we can, we like to offer as many options as possible so you can choose the one that works the best with your financial needs. While every offer is different, they usually fall into one of three categories:
When you sell all of your structured settlement payments, you agree that all future payments will go to J.G. Wentworth. This means you won’t get any other settlement payments after you receive your lump sum. In most cases, you will not need to do this to get the cash you need, and it is the least-selected option that we offer.
Sell a Set Number of Payments
Your structured settlement provides you with regular payments that may extend over several years, decades, or potentially the rest of your life. If you don’t need to sell all of your payments to get the lump sum you want, one way is to sell all payments over a limited period of time. For example, if you receive monthly payments, you could give up six years of payments in exchange for a lump sum.
Once you get your lump sum you would continue to receive your structured settlement payments until the date of the first payment you sold. Then, for six years, you would receive no payments. After that, you would receive the remaining payments from your settlement.
Sell a Portion of Each Payment
If you don’t want to stop receiving your regular payments entirely, we might be able to offer you your lump sum in exchange for just part of a payment. For example, say that you usually receive $2,000 a month. You could sell $600 a month of payments to J.G. Wentworth, get your lump sum, and continue to receive the remaining $1,400 per month.
What If I Want to Change My Lump Sum Amount?
Your financial situation is unique to you. After looking over the options, you might decide that you want to change the size of your lump sum. You may need more or less money than you initially thought. Your account executive is happy to update the quotes based on the new lump sum you want.
What Happens If I Decide Not To Accept Your Offer?
If you’re not happy with the options we offer, be sure to let your account executive know. We’ll re-run your information to try and prepare an offer that’s closer to what you have in mind.
We want to help you achieve your goals with an offer that makes sense for your financial situation. We don’t want you to accept terms unless you’re happy with them. Our quotes never have an obligation attached. If you decide against our offer, you don’t have to accept it. There is no fee or penalty for deciding not to take it.
Now it's time to Test Your Knowledge
Don't worry, you've already got an A for participation. But if you're feeling up to the challenge you can test your knowledge of the information covered in this step.
Next steps I Want to Accept Your Offer. What’s Next?
Call or email your account executive and explain which offer you’d like to pursue. J.G. Wentworth will send you a contract for the quote you’ve selected. Your account executive will let you know what paperwork you need to send back to J.G. Wentworth with the signed contract. If you’re missing any information, your account executive will walk you through what’s needed and how to get it. If at any point in the process you have a question, give us a call. We’re always happy to help.
* J.G. Wentworth does not provide legal, tax, or financial advice, please consult with independent professionals for such advice.
Signing The Purchase Contract
Before we schedule a court date to complete the sale of your future structured settlement payments, a contract gives us permission to start the process.Begin Step 3