Sometimes court cases end up in a settlement such as a structured settlement funding annuity. If you are caught on the end of having to pay this, you may be wondering how you are going to pay this large amount of money! How are you suppose to take your hard earned money, pay your bills and expenses and still have enough left over for such a large payment. The issue is a big one and this is a big concern but fortunately, there is a way to ease your mind and help your concerns be lessened. Just follow along with the following text and see why this shouldn’t be worrisome to you.
In most cases, your payments won’t be in lump sums. You will not be generally asked pay a large sum of money up front because this is a ridiculous request for anyone to handle. Courts will generally ask you to pay little sums of money I incremental amounts. If the beneficiary of this money wants a lump sum, they will have to sell their settlement annuity and receive their payment in full that way. This gives you the time to pay off your debt to them without issues. You are not put in an awkward position and neither is the person who needs the money. It really is a win/win situation!
Just in case you are curious, the way a settlement sale happens that a company (the buyer) will buy up settlement and pay individuals the full lump sum all at one time. They take a small percentage of the settlement for their payment and then are able to receive their annuity payments to compensate for the money lost. If this does occur, it is likely that you will be receiving a bit of paperwork to tell you of the change in payments. You will then be paying a company rather than the original recipient of the money. It is not a complicated process, it just involves a little paperwork and research on the side of the other party. You should not be hassled by the paperwork or other such things.
To continue of with putting your mind at ease, you must remember that you will not be asked for all the money straight up! Do not worry about the payments or where the money will come from because its not a significant amount (in most cases) to the point that you will go broke or bankrupt from the situation. Just keep in mind that the payments are temporary and you will then be able to go back to your normal life. You may even find that when you are not having to pay the annuity, you will feel like you have quite a bit of extra money to spare since you are not missing the money. This can be the upside to your payment coming to an end. Just remember to do your payments on time so you do not have to do extra payment or prolong your sentence of annuity payments.