One of the most common questions a seller asks before deciding whether to sell a structured settlement is how long it will take to complete the transaction and get paid the sale proceeds.

At Genex Capital we are committed to completing each sale and getting our customers paid in the shortest time permitted by law.

Having said that, it is important to understand what the law says in that regard and what the procedural hurdles are to complete a typical sale transaction.

1.  From acceptance of the offer to receipt of documents takes approximately —1 day

2.  There is a mandatory statutuory cooling off period of between 3 to 10 days during which time the transaction must not proceed.  See for example the Virginia Structured Settlement statute requiring 3 days.  We generally allow 10 days on account of the most common time requirement. –10 days

3.  It often takes 2 to 3 days afterward for the documents to be returned to us by seller and for us to prepare them for our lawyer. –3 days

4.  Once delivered to our lawyer, the case must be prepared for a court application, necessary follow up with seller and preparation of evidentiary documents such as the seller’s affidavit. –7 days

5.  The case is then filed with the court and a mandatory statutory 20 days notice is given to the insurance company involved. See Virginia Structured Settlement Statute.–20 days.

6.  We await our turn for a court hearing date generally in the county where the seller resides.  Time lapse to the hearing date depends on that particular court’s availability and can vary widely from county to county.  –20 days

7.  Once the hearing is completed and assuming the court transfer is approved, it generally takes 7 business days to complete the final stages and complete the transaction.  –7 days.

8.  If the seller does not have a copy of the annuity policy then a benefits letter must be requested to the applicable insurance company.  This can add up to 2 weeks to a case.–2 weeks.

The total time to completion then can range from 63 days (2 months) to 78 days (2.5 months) in normal cases.  Complex cases may take longer to complete.

Please note that some Genex Capital competitors promise to complete a transfer within 3 to 4 weeks from inception.  This is not possible without violating State law and thereby incurring a 40% excise tax on the transaction which will, in turn, jeopardize the completion of the transaction.  See Internal Revenue Code s.5891.

I hope this clarifies the time requirements to complete a structured settlement transfer transaction.  A Genex Capital Customer Service Expert would be happy to answer any other question you may have.

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