How to Make Sense of Structured Settlement Annuity Quotes
If you’re thinking about selling your future payments, you’ve probably seen several websites that offer free structured settlement annuity quotes online. Getting a few of these quotes is a great place to start while you’re deciding whether to sell. However, there are a few important things you should know about them.
At CrowFly, we offer a free structured settlement calculator on our homepage. You don’t have to give us any contact information to use this tool, and you’ll get an instant estimate of how much your structured settlement payments are worth if you decide to sell.
OK, back up. Aren’t my payments worth their face value?
When you have a structured settlement, you are due to receive a defined stream of payments. The total amount of payments due, no matter the time frame, is sometimes called the face value. The value of that cash today is the present value. Due to inflation and other factors, the face value of your payments will always be higher than their present value. So, if you sell your structured settlement payments, a buyer will pay you in a lump sum, but the amount you are paid will be less than the face value of the payments you sell.
How is the value of my future payments determined?
To calculate the value of your future payments to a buyer, we use a discount rate. The discount rate is the interest rate used to determine the present value of future cashflows. We try to keep that rate as low as possible, since the lower the rate, the more money a seller receives. Some people think of this rate as similar to the interest rate charged for a loan. While it is, in fact, different, it’s a familiar comparison: the lower the rate, the more money you get to keep; the higher the rate, the more money you lose.
When You Get a Quote Online, Call CrowFly
Our free online calculator provides a basic quote, as do the ones you may see on other websites. But our goal is to get you the most money from selling your future structured settlement payments. So, if you call CrowFly and speak with a member of our team after using our online calculator, we will consider additional factors and may be able to do even better than the estimate you received. No one will push you to sell, so there’s nothing to lose by giving us a call.
Questions About Structured Settlement Annuity Quotes? We Can Help
If you have questions about structured settlement annuity quotes, our online calculator tool, or any other related matter, reach out to CrowFly today. Call 833-CROWFLY for a free, no-hassle chat about your future payments and what you can expect if you decide to sell. A member of our team is ready to speak with you.