Sell Future Payments

Written by Michael Federico
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A lot of companies advertise that they will buy future payments from people. These companies will give "cash" for inheritance money, court settlements, or any number of annuities. This is an appealing claim for those who have money coming to them, but are in need of money at present. The problem is that many of these companies take advantage of people, buying more future payments than is necessary at rates that are too low.

One of the major myths perpetrated by many of these companies is that a person must sell all of his future payments in order to receive any money. This is completely false. In fact, most experts would say a person should never sell off all of his future payments. If a company demands that, or even suggests that it is the only way to come into a substantial amount of cash, that is not the company a person should be working with.

Who Should I Sell Future Payments to?

A number of settlement brokers and investment firms that buy future payments really do work with people to come up with the best deals possible. The rate that someone will receive on a future payment depends on the amount of the payment, the time of the sale, and the S&P rating of the company or companies guaranteeing the payments. Many companies will ignore these rates and simply pay the lowest possible amount. This is easily avoidable, though, because a person can seek out several quotes before selling.

A person needs to find a company that will help him achieve his financial goals. A person who wants to buy a multi-million dollar home and a person who wants to pay off $2,000 of credit card debt do not have the same needs. Buyers that take the time to consider each specific case and to determine how to get a person the maximum amount of money possible are the only companies one should sell his future payments to.


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