Can You 'Cash Out' Structured Settlement Payments?

At CrowFly, we’re often contacted by people who are interested in how they can “cash out” their structured settlement. And it makes sense to think of it this way, after hearing decades of jingles and catchy commercials with slogans like: “It’s my money, and I want it now!” and “Need cash now!” The truth is, there is no way to reverse a structured settlement agreement and receive cash for your future payments instead. But depending on your situation, you may be able to transfer the rights to your future structured settlement payments for cash. This is what we (and other companies) mean when we say “sell your structured settlement.”

So, who can sell? Structured settlement arrangements are meant to last a long time. But if a sudden expense or opportunity has come up and your settlement is the only money you have to cover it, the court will most likely allow you to sell structured settlement payments for a lump sum.

But first, it’s important to know that if you do decide to sell, you won’t get face value for your future payments. That’s because the value assigned to the future payments that you are selling, at the time you are selling them, is actually based on something called “present value,” which is not the same if you were to receive these payments in the future. We go into more detail about valuing structured settlement payments here.

Next, you should know that if the court allows you to sell your payments, you won’t get your money overnight. In fact, depending on your home state, the transfer could take from 30 to 90 days. As you would imagine, there is quite a bit of paperwork for sellers to go through, and the court gets involved again to review and approve the transfer. CrowFly works to make this process as easy and efficient as possible, but there is still some wait time that’s out of our control.

Another thing to consider:, while there are a handful  companies out there that can transfer the rights to your payments for cash, you will not get the same price from all of them. Many companies “buy low and sell high,” which means less money in your pocket at the end of the process. The best thing to do is shop around for quotes and then make a decision on which company to work with. You shouldn’t feel pressured by any company to go with them, because the decision should be yours alone and on your time.

CrowFly is a startup founded by people with decades of experience in the structured settlement and technology industries. We process transactions in all 50 states, including Maryland - which has extensive requirements to be registered there. Our company is also built on a totally different mindset than that of our competitors. We don’t try to get you to sell with as high a markup as possible to get the most money in our pockets. Rather, we’ll actively work to get YOU the most money possible, and we’re transparent about expectations from day one. Our streamlined, digital-forward process offers a low-pressure experience where you can get an anonymous estimate and then, when you’re ready, register and list your payments on your own time, from anywhere – even on your mobile device. 

If you are interested in finding out how much you could receive if you sell future payments, check out our free online structured settlement calculator. You can also call 833-CROWFLY for a free, no-obligation discussion about your options, or visit crowfly.com/get-started.