Most large lottery prizes are paid in yearly installments over twenty years or even more. This is unfortunate because many winners may want to raise cash to pay unexpected medical expenses, start or develop small businesses, pay off debts, or purchase homes.
Some winners still waiting for prize payments are senior citizens who may not have twenty years to enjoy the benefits of a prize. Others merely want to take charge of their own winnings, investing (or spending) to suit their own needs and life plans.
If you are sick and tired of not being in control of your own money, do not lose hope. You may be qualified to sell lottery payments for a cash lump sum.
How the Procedure of Selling Lottery Payments Works
If a winner desires to sell lottery payments, he or she must have their own independent lawyer representing them in the transaction. If the winner can agree on terms with a bank, loan company or investor, the parties must give notice to the Lottery and petition a court to approve the sale.
If the court permits the prizewinner to sell lottery payments, the Lottery will get an order telling it to make future payments (or portions thereof) to the buyer (or lender) rather than the prizewinner. In turn, the prizewinner gets upfront “lump-sum” cash payment. In other words, the Lottery’s payment obligation remains the same – paying the same amounts on the same dates – the only difference is the name and address on the checks.
How The Right to Sell Benefits Everyone
The existence of the assignment process encourages vigorous competition among lenders and investors ensuring the best possible deals for prizewinners who decide to sell lottery payments. By requiring a court finding that the prizewinner has received independent legal advice and counsel concerning a proposed assignment transaction, the prizewinner’s interests will be protected.
By affording prizewinners the right to sell their payments, the Lottery makes its prizes significantly more “valuable” to winners without spending one cent of Lottery money.
The simple fact is that the prizes belong to the winners. And the winners ought to be free to save, spend, or invest in accordance with their own life preferences.
