The cost of living these days is climbing higher and higher each year, and it’s the reason why so many people have begun choosing to sell their structured settlement payments and their annuity payments. Don’t believe it? Well…
Looking at these numbers, is it any surprise that it’s so difficult to manage your finances?
- 13: The average number of payment cards (including credit and debit cards) that an American household has.
- 40%: The percentage of families who spend more money than they earn each year.
- $3,761: The average amount of money that each American adult owes in revolving credit to lenders, including around $950 in interest payments annually.
…Going to school costs more than it ever has…
- $31,231: The amount of money that the average private university charged for a year of tuition during the 2014-2015 school year.
- $11,244: The amount of money that the average American household still owes in student loan debts (and yes, this includes everyone from recent college grads to people who have been paying back their student loans for decades).
- $1.3 trillion: The total amount of student loan debt that Americans still have — as of 2015, at least.
…And if you get sick or injured, forget about having any money left!
- 64 million: The number of Americans (which equates to around 35% of the national population) who say that they’ve struggled to pay off medical bills as recently as 2014 — even if they have insurance plans.
- 20%: The amount of credit reports that are hurt solely because of unpaid medical bills.
- 68%: The percentage of personal bankruptcy cases that are caused by medical bills.
The truth is, if you’ve got money invested in an annuity (including a lottery annuity or an annuity settlement), you probably aren’t doing yourself any favors. It’s estimated that there are around 34.8 million individual annuity contracts in place these days, which results in more than $2.58 trillion of funds that just sit around and can’t be accessed.
This is all well and good if you have plenty of money saved up in the event of an emergency, but the majority of people just don’t have enough cash on hand to live comfortably and live without debt. Selling your annuity or structured settlement payments isn’t “an easy way out” — it’s a way to use the money, which is already yours, by the way, so that you can maintain the quality of life that you want.