By AFG Newswire Sept. 14, 2014 4:09 p.m.
The Great UN-Equalizer: "Expenses" What Makes Other Transfer Companies More Desirable
We know this much: you'll be discounted for what your structured settlement payment rights are worth today, according to the "discounted present value" rate.
What we don't know is the percentage rate of all of the "expenses" of that particular transfer company. Competitive? In your favor, not so much? How can you tell?
Hire an independent professional adviser for free, and have them check it out.
This is the part where you either get a good deal, or get ripped off. There is no one better to know than an independent professional adviser that's been in the business for years. You can hire this guy for free, up to $1,500.
California Code of Insurance Section 10134(e) defines "expenses" as "all broker's commissions, service charges, application or processing fees, closing costs, filing or administrative charges, legal fees, notary fees, and other commissions, fees, costs, and charges that a payee would have to pay to transfer the structured settlement payment rights of a structured settlement agreement or that would be deducted from the gross consideration that would be paid to the payee in connection with the transfer of the structured settlement payment rights of a structured settlement agreement".
Charges can be arbitrary, or up to the company. This part of the business is private industry and is fair competition. Remember, the validity of law is not related to morality. Just because the law defines "expenses", doesn't mean what the company charges you will be moral.
"Expenses" will be itemized, and will be "fair and reasonable", but when you know you can get free legal advice, and there is possibly a better price for your dollar, why would you jump at the first offer? Think twice. Call an independent professional adviser.
What separates transfer companies is what they're willing to give up for you. "Expenses" separates the transfer companies.