Structured settlement loan

Structured settlement loan

A structured settlement enables you to receive payments regularly either monthly or after an agreed period of time. Though at times we are pressed by financial woes and the settlement payments we receive monthly cannot fully satisfy our basic expenses. When faced by such a situation then structured settlement loan becomes the answer to your financial problems. Maybe you needed a new car, or need to solve a medical emergency or a new house, settlement loan can help you get this at the moment you need it. The loans are provided by structured settlement companies.

Its good to understand that a structured settlement is different from other loans, since you borrow what is yours just that you don’t have it at hand. Hence the process of application is easy since it does not require the standard loan requirements for a common loan. Meaning no need to use your assets to secure the loan or do the background checks. But remember that an approval from the court is needed. The lender will also have to review the documents of concern. If you qualified for the loan, then the loan may take about 90 days equivalent to 3 months for it to be processed and issued out. Another point of concern is when you take the loan it will affect you remaining future payments. This is because the amount of the loan will go against the total amount of settlements remaining. Something else you supposed to know is that the loan must be paid in time. Application for a structured settlement loan follows some steps.

Steps to be followed

§   Finding a company which provides the structured settlement loan through research. Research online, visit the companies which you know for the first hand information or talk with your attorney or lawyer to assist you. This is good because not all companies are the same and each company offers different options and benefits. Hence this will help you choose the best company which matches your needs.

§  Official procedure. Official procedure is the longest procedure and it involved lots of paper work. The procedure takes a couple of weeks and it should be done in accordance to court requirements. You need to understand each procedure involved and the terms and conditions which applies for transparency.

§  Court approval. The judge must approve whether the loan was taken for the right reasons and whether the company is using fair loan application procedures

§  Final step is the issuing of loan. The company will write a for you or write money directly into your account if the judge approves the loan. This final procedure is reached after an approximate of 90 days.

Structured settlement loan then becomes the ideal way to access loan if you are entitled to a structured settlement loan. You just need to make sure that you took the loan for the right and a beneficial reason.