by Structured Settlement Watchdog
FirstStructured Settlement.com is "starkers" on structured settlement subject matter credibility.
First Red Flag on FirstStructured
The first red flag is that It uses the telephone number 888-404-4242, which was previously used by NL Brand Reviews, which claimed a fictitious person as its editor in chief, citing fraudulent academic credentials, rotary memberships and the like. NL Brand Reviews no longer displays the phone number when checked at time of publication. In this May 28, 2019 blog I was able to tie 888-404-4242 to CBC Settlement Funding.
What Percentage of Cases Settle Today Using 2004 Stats?
"In 2020, the number of civil cases, especially those dealing with personal injury accidents, will never actually make it to court for a trial.
The reason?
More and more cases are being settled before getting to court, and this is due to a growing trend since the 1990s, which has seen the number of civil cases settled or dismissed without a trial balloon to 97%. Those that did go to trial, 55% were won by the plaintiff for over $4.4 billion in damages awarded, according to a government survey in Phoenix, Arizona."
1. The cited survey appeared in the Phoenix Business Journal May 31, 2004. It's a bit intellectually dishonest to be discussing the state of affairs in 2020, using a 2004 article, without stating it's from 2004.
2. A more recent 2009 legal treatise, "What is the Settlement Rate and Why Should We Care?" by Theodore Eisenberg Cornell Law School and Charlotte Lanvers Disability Rights Education & Defense Fund, Inc. is notable for the following:
"Regardless of the method of computing settlement rates, no reasonable estimate of settlement rates supports an aggregate rate of over 90 percent of filed cases, despite frequent references to 90 percent or higher settlement rates".
3. If the settlement rate was indeed 97%, how much more "rope" has "more and more" got to go?
Dismissed Without a Trial Balloon?
"A trial balloon, or kite-flying, is information sent out to the media in order to observe the reaction of an audience. It can be used by companies sending out press releases to judge reaction by customers, or it can be used by politicians who deliberately leak information on a policy change under consideration". -Wikipedia. In common parlance " let me float this by you"
When it comes to trial "balloon", FirstStructured is a "buffoon". The Phoenix Business Journal article, that FirstStructured cites, makes no mention of balloons, blimps, zeppelins, dirigible, or other form of flying gas bag.
Listed as a Structured Settlement Con
"If the settlement is for a minor, a structured settlement could be a mistake, as even though a lump sum of cash is received, the minor is not allowed to spend the money until they reach a certain age, which is usually 25 years or older. This is to ensure the individual has reached maturity to make the right financial decisions. By getting the lump sum, it allows the guardian to make investments which will allow for the lump sum to grow exponentially over receiving periodic payments"
The age of majority is generally 18, not 25.
There are limits to where settlement recoveries for minors may be placed.
The guardian may not be qualified to manage investments.
The structured settlement secondary market,is notorious for scraping court records and preying on young adults when they turn 18. In one such case an 18 year old Afro-American New Yorker, while still in high school, was lured onto a bus to Virginia by a now defunct company called Golden Egg whico raided his structured settlement. Golden Egg then assigned the payment rights to another intermediary where the factored structured settlement payment stream was acquired by a client of a California settlement planner, before Golden Egg went out of business.
FirstStructured Settlement Lie #1 "You will be connected with an agent with years of experience too guide you"
Unfortunately there is no licensing or regulation of solicitation of sales practices. There are no agents such as you would find when buying an insurance policy. Of course any structured settlement factoring company can try to weasel out of it by saying that the dictionary defines an agent as a person who acts on behalf of another person or group. But when juxtaposed with providing financial advice concerning structured settlements or other insurance products it's a lie unless the "agent" holds the relevant licenses.
FirstStructured Settlement Seduction Technique
"Have a structured settlement and overwhelmed with life? We can help. All of sudden these people are psychologists and social workers?
The black couch pitch is "whether you want to remodel your home, upgrade to a newer home, finish your degree to get a better job or a promotion with your current company, we can help you reach your goals and your dreams".
What do you expect from a lead generation company for the structured settlement secondary market? They only really have one solution, one flavor, it's only a question of how many rolls of pennies on the dollar you will get.
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