Should I Sell My Structured Settlement?

I was hurt in a personal injury case about six years ago.  As part of the settlement I received an annuity that pays me $3000 per month for the rest of my life (I am 35) or at least for another 25 years..   I have found myself in some financial trouble and I need some money now.   There are companies that advertise on television that indicate that they will buy my annuity and give me case now.  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 guaranteed $900,000 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.

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.