The use of the word restructured is misleading. When "restructured" is used in connection with "structured settlements" it appears at first blush, that there is some connection between the two. THERE ISN'T. It's a scam the way it's being promoted by the settlement purchasers to injury victims.
Structured settlements have unique benefits set forth in the tax code. To do a so called "restructured settlement" you must sell your structured settlement payment rights AT A DISCOUNT, which might be substantial, BEFORE other products are purchased to create a new payment stream with the discounted amount of money.
While structured settlement is a defined term under the Internal Revenue Code, the Code makes no mention of restructuring structured settlements
My previous blogs on "Restructured Settlements"
Can Terms of Your Structured Settlement Change? Restructured Settlements July 12, 2010
Some Contrasting Points of View from the Structured Settlement Secondary Market
1. CrowFly LLC of Buffalo New York opines
1. "an innovative approach to restructuring policies where every plan is catered to your needs!"
2. "Take control of your policy. Access funds as you need them and structure your policy in a way that benefits you the most".
3. "Get access to funds immediately in case of an emergency or opportunity. Use the lump sum payout to fulfill your needs or apply to a means of generating growth and longevity".
"Taking control of your policy" is a major misrepresentation on the part of Black Square Financial. Anybody who knows what they are talking about in the industry knows that no annuitant owns or controls the annuity policy funding their structured settlement. No annuitant can sell a structured settlement annuity policy and no investor can buy it from the annuitant.
I'm siding with CrowFly on this one. I challenge Black Square Financial to supply proof of all of the structured settlement annuity policies they have purchased. I suspect they can't, because in a structured settlement factoring transaction, they merely buy structured settlement payment rights. So why is Black Square Financial lying to consumers over such a fundamental point?