by Structured Settlement Watchdog®
Mommy blogger Natalie Bracco is a self-proclaimed "all time master spaghetti chef" and a part-time writer, none of which qualifies her as an authority on structured settlements. Here's how her structured settlement "sauce" is "bollocks bolognaise".
A. She claims "you can never withdraw the entire amount even if it’s a life or death situation. And the legal framework firmly supports this policy by the insurance companies as well, so taking the case to court also has to be ruled for. But all hope is not lost, there is indeed a way around it; it is by selling the structured settlement to a buyer and by receiving the appropriate amount in cash for it".
Comments: (1) Natalie Bracco is either clueless to, or ignores the fact that the restrictions are in the Internal Revenue Code. (2) Usually a court involves a judge who issues a ruling upon...(3) Selling a structured settlement to a buyer will not get the seller "the entire amount". In fact (4) the "appropriate amount" is a "Sacccetini" of you know what, set by the buyer that is nowhere near "the entire amount".
B. Bracco claims that "Structured settlement companies offer to buy the settlement only if they see a reasonable profit in doing so. So inevitably they are going to charge you a fee for lending their services, which will be deducted from the amount that will be paid to you. So essentially you will not be getting the entire amount of the structured settlement, but if you’ve chosen the right company then you might only lose a fraction as fee amount"
Comments: (1) Misleading. You will lose far more than a fraction of the fee amount. Selling your structured settlement will always result in a loss of capital. Cedric Martez Thomas lost almost $1,500,000 in a deal approved in Okeechobee County Florida at the end of October 2015. The combination of 365 Advance Services and Novation profiteered to the extreme.
C. More "Bric a Bracco" "transfer of annuity benefit rights to a third party is a completely legal process by which you can transfer the rights of your settlement to a third party buyer and get the equivalent cash from them in return.
Comments: It's the structured settlement payment rights, not the rights to your settlement. You are not getting equivalent cash in return, because the payments have been discounted to present value and the transaction fees for the buyer and the broker built in.
D. This not only solves the immediate financial urgency that you might have but also provides a clever way in which you can transfer your existing settlement to a much rewarding investment platform such as real estate or gold etc
Comments: Here's a reason why the all star spaghetti chef should stick to monitoring the state of "sticks of semolina" in boiling salted water. Natalie Bracco simply hasn't a clue.. Selling your structured settlement and investing in Gold would have been an unmitigated disaster. If Bracco was a financial adviser her clients would have good grounds to sue her. Essentially what she says is take a hit on selling your structured settlement and put it into one of the most underwhelming assets. According to Morningstar an investment in the SPDR GLD Trust has lost 5.96% YTD through Q3 2015; essentially broken even in 2014 and lost in the high teens in 2013.
With a modicum of research Bracco's blog post could have been "al dente".