I Think I Want to Sell My Structured Settlement

I was badly hurt in a personal injury case about ten years ago.  As part of the settlement I received an annuity that pays me $4000 per month for the rest of my life (I am 40) or at least for another 25 years..   I have found myself in some financial trouble and I need some money now.  I have been told that I can sell the annuity and get cash. Should I do that?

You almost certainly should not do that and, before you do, you should seek the advice of a financial counselor who can guide you through your decision-making process. 

I have no respect for the companies that purchase structured settlements.  The price paid for them is ridiculously low – often 40 cents on the dollar or even less.    Your structured settlement will pay you a over $1,000,000 in the next 25 years – tax fee – and if you live a normal life expectancy you will receive another $500,000 or even more.    You should not throw that away for pennies on the dollar and then take on the burden of investing what you receive.

A good financial counselor can help you determine what is in your best interest.   He or she can also help you get control of your spending so that you don’t find yourself in this situation in the future. 

So, do not sell your annuity without first seeking the advice of a professional.