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JG Wentworth Improves BBB Record

Thursday, February 14th, 2008

JG Wentworth Logo Updated January 2012 – How important is a company’s reputation when purchasing structured settlement payments from tort victims? JG Wentworth is the largest company in the structured settlement factoring industry, but it’s important to note this company’s Better Business Bureau record. JG Wentworth has done a good job over the past 2 years of cleaning up their record. This article was originally written in 2008 and JGW had over 40 BBB complaints. Looking at their record now, they have just under 30. This is impressive with all that has happened in the 4 years since this article was written.

Over the past four years, JG Wenworth has filed for bankruptcy, laid off over half its workforce, and just recently merged with it’s biggest competitor Peachtree Settlement Funding. Usually with a lot of negative press, a company’s Better Business Bureau record suffers, but not JG Wentworth.

JG Wentworth has received 14 complaints over the last 12 months and 29 complaints over the past 36 months. The increased number of complaints within the last 12 months could be due to the merger with Peachtree. I would suspect that they are doing almost double the business, and most of it is being funneled through JG Wentworth, not Peachtree.

What is the increase in complaints attributed to?

JG Wentworth Better Business Bureau Record

Executive Life Insurance of New York Structured Settlement Factoring Transactions

Wednesday, February 13th, 2008

It has come to this authors attention that consumers are having a difficult time factoring settlement payments where the original payee was Executive Life of New York. Several individuals have contacted us complaining of companies dropping their entire case days before the court date.

Settlement Quotes has been able to locate a few investors that are willing to purchase Executive Life Insurance of New York payments which are currently being payed out by Metropolitan Life (MetLife). Feel free to contact us to receive more information.

Why is it More Expensive to Sell Less?

Thursday, February 7th, 2008

The following statement: “it is more expensive to sell less,” when referring to a structured settlement factoring transaction is true when speaking in structured settlement factoring language. The pricing structure of the factoring market uses discount rates as a scale to determine the cost to the annuitant or tort victim. There are several reasons that it may appear to be more expensive to sell less of your structured settlement.

Every structured settlement factoring transaction has standard costs associated with it. Below is a pie chart outlining these costs:

Structured Settlement Factoring Costs

Filing fees and court costs range from $2300- $2800 depending on the state
Insurance transfer costs range from $500- $800 depending on insurance company and double if the payments are split
Miscellaneous fees usually range from $150- $175
Lien search costs are $300 (to make sure that the annuitant does not owe taxes, child support etc.)
Fedex costs $50

These standard costs are present on every structured settlement factoring transaction whether the tort victim is selling a present day value annuity of $10K or whether they are selling an annuity with a present day value of $100K. The discount rates of the annuity are effected by the amount of costs to complete the transaction. The graph below illustrates the scenario.

Structured settlement factoring discount rates

As you can see the larger the present day value of the annuity, the lower the discount rate of the transaction equates to.

This scenario is an example of how the discount rates are effected by the standard costs of a factoring transaction. Settlement Quotes does NOT suggest to sell more structured settlement payments to reduce the discount rate of the transaction.

This blog post is to help tort victims and other financial professionals understand the relationship between the present day value of an annuity and the discount rates of a transaction. If you have any questions or concerns, please comment below and if you would like to learn more about structured settlement factoring click here.

Living to 100 Years of Age- New Tool

Friday, November 30th, 2007

67%Living to 100 Years Old

Settlement Quotes – Structured Settlements

This is a new tool brought to you by Settlement Quotes. Please feel free to play around with and stay tuned in the next few days for another great tool.

Why The NSSTA Is Important to Factoring Companies

Monday, November 12th, 2007

There are several reasons the National Structured Settlement Trade Association (NSSTA) is important to the structured settlement factoring industry. One of the main reasons this organization is not only important but vital to the structured settlement factoring industry is because without it there would not be structured settlements for the factoring companies to factor.

The structured settlement industry can survive without the factoring industry, but the factoring industry cannot survive without the structured settlement industry. It is important to remember this when marketing for a factoring company. Many factoring companies belittle structured settlements by using phrases like, “cash out your small payments for a large lump sum.”

These phrases may not seem harmful but to an individual or attorney seeking to setup a structured settlement these phrases can mean they choose a different option. The NSSTA has done a great job promoting this great settlement tool. In the future, hopefully more factoring companies will feel this way about structured settlements.