Everyone has their own version of the American dream. It might be the dream that’s so prevalent in society and what we learn to pursue from a young age: go to school, get a degree, get a well-paying job, a house, a family, and so on. Or that dream may be a bit more off the beaten path, for those dreamers like the artists, travelers, or those with too many interests to settle down into one set career. But the one thing that all these different dreams seem to have in common is money. And too often, too many people fall into debt and face significant financial challenges in an attempt to reach those lofty — however worthy — goals. For those with an annuity settlement, there could be a way out of debt that leads to a better path for arriving at those dreams.
How getting cash in structured settlement payments can help
When the Powerball jackpot reached over $1 billion, the highest it has ever been, there were lines out the door to buy lottery tickets. Dreams and imaginations soared, working overtime thinking of ways that such a sum could be spent. New cars, new homes, that destination wedding or vacation that seemed impossible, flashy new accessories, and so much more. Receiving cash in structured settlement payments or selling them off, that’s a lot of money. But sadly, perhaps the biggest dream that most Americans fantasized about was getting rid of debt. On average, an American household will have about $15,355 just in credit card debt, while the average total debt skyrockets to $129,579. And while household income has risen by 26% over the course of the last 12 years, the cost of living has also increased, but by a larger percentage — by as much as 29%. This leaves very little room for savings or freedom from debt. By choosing to get cash in structured settlement payments, some may be able to afford digging themselves out of that hole.
Options for selling annuity payments
For most it probably wouldn’t be difficult to come up with ways to spend money, especially if there is looming debt as well as lingering dreams. Winning the lottery is already a step in the right direction, but you can also get cash in structured settlement payments from a lawsuit. In either case, selling those payments can actually get you on the path to be even more financially stable in the future, even after that lump sum is gone. The first step would be to consult a financial advisor in order to set up some sort of plan for that money and the money that hopefully comes rolling in after it. But consider the financially sound opportunities that could arise from having that lump sum after selling the annuity. Paying for tuition could lead to a better paying job or career in the future. Of course, paying off a vehicle or house, among other debt-creating items in your life will get you to the point of making money that can be spend elsewhere. Some people struggle with medical bills, and almost 20% of credit reports suffer as a result of overdue medical bills. That lump sum could help with that debt. And while the Kauffmann Foundation states that an average expense total to start up a new business can be $30,000 (that most don’t just have lying around), using the lump sum from the structured settlement annuity could give you that boost you need in the right direction without drying out your bank account in the process. And when your new business takes off, the money coming in will help to keep you in a stable spot.
Few people need assistance dreaming up ways to spend money. Spending is a pretty solid skill that we as a species have developed over time and perfected to the point of bankruptcy. What most people are lacking is the knowledge and planning of what to do with that money once we have a little excess. With the right approach, planning, and restraint, a lump sum from selling annuity payments can end up paying out much more than the original figure. Wouldn’t it be pretty fabulous for the American dream to be debt free?