At RSL Funding, we believe that filing for bankruptcy should be your last resort. If you are receiving annuity payments and you can’t seem to pull yourself out of debt, consider selling annuity payments for a lump sum – before filing for bankruptcy.By using your lump sum and by implementing the following steps, you can take control of your finances and get back on track:
- Monitor your credit report. Take the time to understand what your scores mean and all the activity which affects those numbers. Getting a better understanding of your credit report will help you find what debts need your attention immediately. If you are currently receiving annuity payments, you can sell all or some of them for a lump sum which you can use to pay off the debt that’s bringing your credit score down.
- Create a list of all your debt and expenses. When you are creating your list of expenses, make sure to include all of your rotating bills, such as rent (mortgage), utility bills, insurance payments etc. These are the more important monthly necessities that typically can’t be ignored. Other expenses such as credit cards, student loans, medical bills can be consolidated. This way, you’ll be able to make smaller payments on time and get back on track. Your list of expenses should reflect all the income used to pay for these expenses.
- Take your time when making large purchases. Buying a home, opening up a business, going back to school or even buying a reliable car could lead to bankruptcy if you don’t have the funds to fully pay off the debt. Make sure you research interest rates to ensure that you are receiving the best rate for your situation. Receiving annuity payments is a reliable source of income—the great thing is you can sell a portion of your annuity payments to put a large down payment on whatever you’re buying. This will lower the interest rate of your purchase.
- Find a credit counselor for expert advice. An expert in financial services can help you manage all your debt properly. These experienced professionals specialize in debt management and can help you get back on track before it’s too late. In fact, before you file for bankruptcy, you must meet with a credit counselor in order for the official declaration can be made. In most cases, counselors recommend that you use any extra income, such as annuity payments to help lower debt.
- Create a budget and stick to it. Creating a budget has now become a relatively small task, given the online budgeting tools that can help you organize your financial records and see exactly where your money is going. These online tools will show you how much money you’ve earned within a given time period and if you are living within your means. Generally, creating a budget can also help you grow your savings account by giving you a snapshot of how much you’re earning, how much you’re spending, and how much you can realistically save.
- Have an emergency fund. We all know that having an emergency fund is the best way to stay on top of our expenses if something catastrophic were to happen. The recommended amount to save in a given year is usually two to three months’ worth of expenses, but if you are considering filing for bankruptcy, then the suggested amount is eight to ten months’ worth of expenses. If your income does not allow you to save that much money, consider selling annuity payments and use the cash as a base for your emergency fund.
- Consider selling your assets. When you are in need of extra cash, one of the best solutions is to sell assets that you don’t need. For example, if you own a vacation home or have a car that is not being used, you can sell those assets to help pay down debts that can’t be paid in full with other sources of income. Selling annuity payments could be a good option for those who want to pay down debt as well.
If you are receiving annuity payments or have recently purchased an annuity, you can sell them for a large lump sum of cash that you can use to pay off debt and consequently, avoid filing for bankruptcy. RSL Funding is one of the leading structured settlement and annuity funding companies in the nation.
By following these tips and giving us a call at web_phone, you can take control of your expenses. RSL Funding guarantees you the most money for your annuity payments.
