There are many financial institutions that offer cash for annuity payment. They will give you lump sum cash in exchange for your annuity. Annuity is a financial investment that many people make either in single lump sum or through installments, which can be completed in 20 to 25 years.
After the completion of payment, the company from which you paid annuity premiums will pay you for your entire life or for a fixed number of years, either monthly, quarterly, semi-annually and annually a fixed sum.
Annuity is a good investment to secure your future after retirement. But there are times in your life where you face emergency situations that require the use of immediate cash. Maybe you have set aside sufficient funds for emergency uses.
Depending on the nature and gravity of the situation, you may run out of cash. If you have no other savings to use, or if your non-emergency savings are not enough, you may have the option of selling your annuity payments.
Having an emergency situation is not the only reason why you may consider converting annuity payments into cash. Many people sell their annuity investment in order to purchase a real estate property, a dream car, venture into business, or to finance an education.
There are institutions which offer the services of purchasing the payments you have made for your annuity, and this can solve your immediate financial worries. Annuities, though may serve a significant role in meeting your plans, they are not flexible and capable of solving immediate financial problems.
In the United States of America, more than thirty state governments decided that their residents should have access to this important resource and allow for the smooth transfer of the annuitant’s rights to receive payments when it is deemed to be in his best interest.
In all fifty United States, you are able to convert your payments into cash. If you are interested in this undertaking, you may get a free annuity analysis provided by the institutions.
Some financial institutions buy other annuities such as non-structured insurance annuities, single premium immediate annuities, and investment annuities.
Cash for annuity is flexible. You have the option of choosing the number of payments you would like to sell, the funding company that will provide for your lump sum payment, and several options for payment.
Normally, after you have submitted your information, it will take 6 to 8 weeks for you to cash in your annuities. Many financial institutions will bid for your payments, and they will offer you more flexible terms and payment options.
You have to bear in mind though that the lump sum you will receive from financial institutions for annuity payment will be lower than what you would have received once your premium payment matures. This is one way that financial institutions earn their profit.