Selling My Annuity Payments For Cash
It is possible to sell or assign your annuity payments at any time. The money received from the sale of an annuity is typically not taxable, which is welcome information for those interested in paying down medical bills, paying off debt, buying a home, or having the opportunity to enjoy their life with increased financial means.
We provide our customers with the option to sell their full annuity or part of the annuity. Selling your annuity payments for a lump sum provides you with more cash now, while selling a partial annuity provides a smaller lump sum of cash now with the settlement payments returning to you again in the future. How this looks depends on the specifics of the agreement and your needs.
We Pay More Funding considers the value of the payments, the timing of the payments, the federal interest rates, the insurance company’s rating and the number of payments being sold. We then provide a quote for the lump sum amount that gives the maximum pay-out for our customers.
How do I sell my annuity?
Selling an annuity set up as a structured settlement requires approval from the court in the county you live in. The individual first contacts We Pay More Funding, and we provide a quote. The individual then accepts the offer, completes the paperwork, we obtain court approval, and we provide the cash.
Can an annuity be cashed out?
The annuity can be sold either completely or partially (a set number of payments). We can discuss a quote based on the amount of money you need and help select the best option for you.
Can an annuity be paid out in a lump sum?
When annuities are sold the payment to the annuitant will be in a lump sum. When selling an annuity, a lump sum payment from us may be for only a portion of the annuity, with the settlement payments continuing later to you after our lump sum payment.
What is the penalty for cashing out an annuity?
A structured settlement payment typically does not have a state or federal income tax liability. Personal injury settlements are set up to be income tax free. Selling your payment does not change the tax structure. There are some very rare exceptions to this. We recommend speaking with a financial advisor if you have any concerns.
How much tax will I pay if I cash out my annuity?
If the annuity was set up to provide structured settlement payments for a personal injury lawsuit, the money from the annuity cash out is not usually taxable. However, there are some exceptions identified by the IRS. Talking to a financial advisor is recommended.