Because Money Doesn't Grow On Trees...
1st Choice Funding Provides Today's "Financial Bridge" With Innovative Financial Solutions
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1st Choice Funding Provides Today's Structured Settlement & Annuity Cash Out Financial Solutions
Legally, Structured Settlement recipients can elect not to wait out the terms of a structured settlement agreement and opt for cash out in lieu of long term payments, as structured settlement cash outs put you in full control of your money, and it is your money! Now ask yourself if you had the opportunity to cash in your structured settlement annuity and then re-invest your money the way you see fit, could that
open doors to financial opportunities closed at present?
The truth is structured settlement and annuity cash outs are a financial tool to increased prosperity your insurance company didn’t want you to know about which is why they offered to pay you long term in this way because an annuity or structured payment stream benefits the insurance company most as they present their offer to you in what appears to be the method most beneficial for you. Don’t kid yourself, insurance companies never; no NEVER do anything that benefits you. The facts are if they did then it not has taken an extensive period of time and a legal battle to get your structured settlement to begin with. The facts are 1st Choice Funding provides financial solutions for individuals who receive structured settlements to assist each structured settlement & annuity clients in obtaining a higher yield of return through smarter investments than allowing the insurance company to yield your income potential in “payments paid over time”. 1st Choice Funding puts structured settlement recipients in line for cash in hand today for a better financial
future tomorrow.
As a structured settlement recipient why sell all or part of your structured settlement payments?
The reasons vary from individual to individual, but many of the reason include:
Purchase a Home
Pay For College
Buy a Business
Grow Your Money More Effectively
Pay Off Debts
Needed Medical Care
Structured Settlements
are a guaranteed source of income for recipients so
why financially does it make more sense to sell a portion, or all of a structured settlement?
Carefully review each of the facts and see for yourself if a structured settlement annuity buyout may
not be a wiser financial decision than you realize.
Successful annuities paid out during the course of time are based on the solvency of the insurance company's
financial strength.
Because no one can predict the future losses of
the insurance industry, i.e. 9/11, 1st Choice Funding's structured
settlement solution
provides a “No Risk” Structured
Settlement options to put your money in your hand today! What is non-recourse structured
settlement funding? Non-recourse structured settlement funding means once you sell your structured settlement,
and should the insurance company become insolvent at a later point you have no financial accountability
for the money you received to be repaid. When receiving a annuity structured settlement cash out,
100% of the money received is yours to keep with no strings attached,
no matter what happens in the future to the insurance company, your money can not be affected.
Inflation Is Eating Away Your Structured Settlement
Why would anyone who receives
a structured settlement be better off financially to receive all of tomorrow's money today vs. being paid out over time?
Simply put...inflation. It's really quite simple; the future of money today can be clearly defined
when we look at money's past performance over just the last 40 years. Money today doesn't have the same
worth it had 40 years ago, and it will not have the same value of money today. Look at what money bought 40 years ago vs. what it buys today;
| 1964 Average Prices: |
| Salary: |
$ 6,080.00 |
| New House: |
$ 13,050.00 |
| New Car: |
$ 3,496.00 |
| Loaf of Bread: |
$ 0.21 |
| Gallon of Gas: |
$ 0.30 |
| Ounce of Gold: |
$ 35.00 |
The bottom line is clear...inflation means future payments aren't worth as much due to this fact. Inflation is like a cancer, eating away at the value of
tomorrow's money, your money. As such it stands to reason that the further in the future you receive
structured settlement payments, the less it will be worth. Therefore no matter the source structured settlement
payments for any type of annuity, a wiser use of the resources provided are yours today
as the inflationary rate over the next 20 years will make the value of the
payments you receive today shrink in coming years. It
is an axiom that the further in the future you are expecting to receive
a sum of money, the less it is worth today, in part because of
inflation as inflation makes the value of the money shrink in
coming years.
With this honest approach to the future value of money imagine how little
what seems like a huge settlement today, but payable over 20 years will be at that time.
Structured Settlement Money is Future Earned Interest
Structured settlement annuities are the insurance company's way of earning interest on
the money they invest when you settled. In other words, the insurance carrier is only paying a small portion to you and the rest is paid out of the continued interest they earn. Is it no wonder then that the insurance carrier or annuity payer wants to pay you over time? (i.e. the sum of all the future payments) includes a great
deal of interest that hasn't been earned yet. Thus structured settlements
are similar to the way a mortgage earns interest. When borrowing money for a home mortgage,
the bank gives you $100,000 note. But add up the payments and you really are paying the bank 250,000
- 300,000 depending on interest rates and terms).
By converting future payments into a annuity you gain a potent weapon in fighting inflation as the following
illustrates the effectiveness of inflation and the power of
compounding interest you receive when cashing in a structured settlement.
A annuity of cash grows in value as an investment at a particular interest rate will double in a
certain number of years. You can easily determine how quickly your
investments will double simply by dividing 72 by the interest rate that
you anticipate receiving on a given investment. For example, an
investment that will yield 10% per year will double approximately every
7.2 years (72/10 = 7.2). A 12% yield would mean your investment doubles
every 6 years. Below is a chart with the interest accumulation on a $15,000
investment at various interest rates over the course of a number of
years.
1st Choice Funding offers several financial vehicles to fast track your annuity into significant capital tomorrow. In order to find your passport to long term wealth apply today for a annuity cash out of your structured settlement by 1. Selling a specified amount of future Structured Settlement Payments
2.Selling all future Structured Settlement Payments
Payment options are available if you're receiving payments from a structured settlement or annuity and such structured settlement payments are not meeting your current financial needs, 1st Choice Funding's investment resources can unleash the converting of future structured settlement payments into a annuity of cash today. 1st Choice Funding's investor portfolio has the
ability to purchase and quickly fund structured settlement and annuities in all 50
states and as such we understanding the "Present Value" of Future Payments to provide to you the most cash today.
Sometimes, there is confusion surrounding the amounts paid to sellers
for their future cash payments. Many Sellers initially think that our
prices are highly discounted. This is simply untrue. Part of the money you are getting in the future is interest
that hasn't been earned yet. On a structured settlement annuity
for example. The insurance company is simply paying you the interest on
the money they invested when you settled your case. The "amount" of the
settlement (ie. the sum of all the future payments) includes a great
deal of interest that hasn't been earned yet. Take the example of a
United States Government bond:
As of August, 1998, a $100,000 zero coupon (pays zero interest)
United States Treasury Bond due August 20, 2017 was worth $31,780, less
than one third of it's nominal or face value.
Is the U.S. Government getting ripped off in a highly competitive
global free market? The answer is obviously no. The simple
fact of the matter is the promise to pay $100,000 (or any amount) in the
future is not worth that amount today. The further in the future it is
due, the less it is worth today.
Many state lotteries
now offer a annuity option instead of the traditional 20 - 25 year
annuity payout. However, as we all know, when you elect to receive a
annuity you typically receive about one half of the advertised prize
amount. In fact, what the lottery commissions do is identical to a
structured settlement. An annuity or U.S. Treasury bonds are purchased
to fund the future payments due to the winner. Attached is a copy of the
State of New Jersey's annuity formula and a thorough description of the
California Annuity Prize Payment Procedure from the California Lottery.
Both demonstrate that the actual value (the present value) of the stated
jackpot is really about half that amount and both states allow people
who have elected to receive an annuity to change their minds and sell
some or all of their future payments to a Lottery/Settlement Purchasing
Company.
Structured Settlement Annuity Funding Purchases Are Like Mortgages...
When one
borrows money for a home mortgage the bank gives you - say $100,000. But
if you add up the payments you make back to the bank they total 250,000
- 300,000 (depending on interest rates and terms). In essence,
settlement purchasers do exactly the same thing only we take the risk if
the insurance company goes bankrupt - you owe us nothing. Also, since
these transactions are not loans they don't affect your ability to
borrow from other sources.
Structured Settlement Annuity Funding… Still Not Convinced? Consider the following:It
is an axiom that the further in the future you are expecting to receive
a sum of money, the less it is worth today, in part because of
inflation. Inflation will make the value of the payments shrink in
coming years. By converting future payments into a annuity, an
individual gains a potent weapon in fighting inflation. The following
illustrates the effects of inflation and the power of
compounding: The Rule of 72
states that an investment at a particular interest rate will double in a
certain number of years. You can easily determine how quickly your
investments will double simply by dividing 72 by the interest rate that
you anticipate receiving in a given investment. For example, an
investment that will yield 10% per year will double approximately every
7.2 years (72/10 = 7.2). A 12% yield would mean your investment doubles
every 6 years. Below is a chart with the Rule of 72 applied to a $15,000
investment at various interest rates over the course of a number of
years. This gives you some idea of how much a annuity today can be
worth in the future.
| Interest Rate* |
Value after 10 Years |
Value after 15 Years |
Value after 20 Years |
| 12% |
$49,505 |
$89,937 |
$163,388 |
| 14% |
$60,337 |
$121,012 |
$242,704 |
| 16% |
$73,514 |
$162,746 |
$360,288 |
* Assumes monthly compounding.
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