Buying a STRUCTERED SETTLEMENT cash flow

The secondary annuity market IS the structured settlements market.

They're just called that but they aren't registered as actual annuities even though there is a carrier involved.

(it's been a couple of months since there has been any response to op so I didn't think I would be interrupting any information flow to him by asking a question of my own.)

I sometimes look at the secondary market annuity list on a website allen posted a long time back. (I'm looking at the smaller amounts - say $30K-$50K,)

Answers to questions in the SMA section of the website suggest there are challenges to the transfer of ownership of those if the purchaser dies before the payouts are complete.

I'm not sure what specific questions to ask. I am just trying to understand the ownership of one of those a bit better. A transfer of ownership would have to happen if I bought one of those.

A secondary question going along with that, do you think there would be a sufficient return premium for an SMA over the "regular annuities" you mentioned in an earlier post to make it worth the challenges of buying the SMA (at least at the levels I am talking about)?

Thanks.
 
My podcast co-host and I did a podcast on this topic. Reach out to me and we can see if these are fit or not:
I think JWROS answers my "transfer on death" question. The website I referred to earlier left me with the impression that I would have to establish some kind of trust with Goldstar or elsewhere to support a purchase with my need. It sounds like the real solution (at least for my situation) may be much more simple

My need is exactly like an example quoted in the video only with a much, much smaller potential purchase price.

The comment about being able to "carve out" tailored purchase amounts was also helpful. It provides me with a possible way in which a small asset base person might be able to deal with RMD creep in the sense of preserving some part of the distributions as a basis for more future income. Try to save a couple of years of distributions and then see if those people can create an SMA purchase opportunity for me with my available funds.

Thanks for setting up that podcast. It helped to expand my knowledge base on something I started wondering about several months ago.
 
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e person might be able to deal with RMD creep in the sense of preserving some part of the distri

I would doubt this will make financial sense for you to do this with a small qualified account.

While I have zero experience with SMA, you for sure would have to set up a self directed IRA to make investments & that alone has fees & cost to administer. I would be shocked if you can pick up better interest rates in the SMA that would cover the extra costs of self directed IRA & then have the added ongoing administration of RMDs, etc.

Again, I have no experience, but this is where my mind goes on a small qualified account investing in SMA
 
I want information about buying a stream of cash flow from a Structured Settlement. Not information about annuities. Not information about secondary market annuities. Yes, I am licensed, since 1977.
You're competing against heavyweights.

Watch Judge Judy or any other daytime afternoon television. Tons of ads from JG Wentworth and such that say "were you injured and received a settlement, but need cash now? JG Wentworth will buy your structured settlement..."

They're not the only one, but the fact that I remember their name tells you how long and how loudly they've been in this market.

They have a 1-800 number, operators standing by, massive scale...heck, they even give people $100 just for calling to get a quote.
 
You're competing against heavyweights.

Watch Judge Judy or any other daytime afternoon television. Tons of ads from JG Wentworth and such that say "were you injured and received a settlement, but need cash now? JG Wentworth will buy your structured settlement..."

They're not the only one, but the fact that I remember their name tells you how long and how loudly they've been in this market.

They have a 1-800 number, operators standing by, massive scale...heck, they even give people $100 just for calling to get a quote.

That is the opposite of what we are talking about in this thread.

But it is one of the sources of what we are talking about in this thread!

OP is asking about buying a settlment from a middleman. Those middleman companies are likely being supplied with secondary market annuities from the JG Wentworths of the world. Because they want a lump sum just like their tv patrons do.
 
Just to add that I did hear from LostDollar and I forwarded his email to my podcast co-host Curt Gibbs for follow-up and review. He's done quite a few of these while I got to play student in the podcast and just ask questions.

I don't know myself if this is appropriate for his situation or not. That's why I'm leaving it to them to determine. It may not, but better to find out than not.
 
I don't know about SPIA's and DIA's.

I am pretty sure there are differences between the lifetime income rider products I own and the SMA I have an offer for.

The income rider provides income based on an imaginary amount of money for an uncertain period of time. The SMA provides a return of lump sums of money on specific dates or a flow of money over a specified range of dates having nothing to do with the life span of the purchaser. The SMA is based on a real sum of money, not an imaginary one.
I really don't know what you're trying to communicate here but SPIAs and DIAs don't have those types of riders or imaginary amounts of money.
 
I thought you were suggesting to op that might consider those three types of annuities as alternatives to the structured cash flow.

What I was trying to say was that I don't know about SPIAs and DIAs, but the SMA and the income rider have different characteristics and I think the SMA could be superior to the income rider -- depending on specific needs -- so the structured payments (regardless of tax concerns) might be the better option for the op.
The products I referenced don't have income riders.

They are literally how the SMA market functions, but on a primary vs. a secondary market.
 
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