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Suze Orman Advises Against Selling a Structured Settlement

Todd Kipnes - Monday, June 02, 2014

In The Oprah Magazine, popular financial advice columnist and television host Suze Orman advised a structured settlement recipient not to sell future payments in order to reduce debt:  We agree with Ms. Orman, for a variety of reasons, that selling a structured settlement is "typically not smart".

Interestingly, one of the internet comments to the linked article is from a firm that purchases future payments, arguing the wisdom of a lump sum, in certain instances, because many structured settlement recipients do not have any other source of income.  We agree that many recipients have no other income; however, we see this, generally, as a reason NOT to sell future payments (and indeed, a reason to opt for a structured settlement in the first place).  If a family has no other income, what happens once the lump sum is spent?

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