Lottery payments are usually structured as regular payouts on consistent time schedule. When someone wins the lottery, an annuity is typically set up to pay out a specified amount of money at a specified time interval. These payments are usually stretched out over a long time period. After considering taxes and inflation, the amount of money realized from winning a lottery is considerable diminished for the winner.
Often winners would like more of their money up front, where they could make a substantial purchase or investment of some kind. They would rather use their money now, not later. U.S. Settlement Funding buys lottery payments and in exchange, the winner can receive part or all of their expected winnings at one time. A typical winner of one million dollars can expect to receive less than $36,000 per year if they wait for the funds. A lump sum can be much more attractive for a down payment on a house, or a child’s college tuition. Be sure to consider all the options you have available when you own a scheduled lottery stream payout.