Structured Settlements 4Real®Blog 2026

Structured settlements expert John Darer reviews the latest structured settlements and settlement planning information and news, and provides expert opinion and highly regarded commentary. that is spicy, Informative, irreverent and effective for over 20 years.

Understanding Court Approval for Structured Settlement Transfers

by John Darer® CLU ChFC MSSC RSP CLTC

Court approval is necessary to get your money early under the structured settlement protection acts in all 50 states and the District of Columbia

Without Court approval, under Federal law, the purchaser of your structured settlement payments rights would incur a 40% excise tax* on the discount rate charged to you.

  • There have been one too many stories of annuitants who have sold structured settlement payments and been taken advantage of during the structured settlement tranfer process or after money was disbursed.
  • Part of the process may include making sure that you have a clear plan.
  • If you have sold before,  the judge may check to see what happened to the lump sum for structured settlement  money you received last time the last time. 
  • Did you really do what you said you were going to do with the money you received?

Last updated November 17, 2025

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