If you have won some personal injury case or a wrong full death suit, or have received some compensation you will be given a large amount of money and you will receive these payments in structured payouts.

In other words you will receive such payments in installments or payment plan order. However, if you can’t wait monthly or annually for your payments to arrive, then you have the option to take loan on your structure settlement.

Structure settlement loans can act as a life saver in situation where you don’t want to your structured settlement payment to come in installments but is in immediate need of money.

Before taking a structured settlement loan you need to understand what is really meant by the term structured settlement loan. A structured settlement loan can be easily defined as a process where a private investment firm or a factoring company will buy out your settlement and pay you lump sum money immediately.

However, taking such structured settlements loans may sound great but they have certain disadvantages as well. The first disadvantage of taking structured settlement loans is that you won’t be paid the amount worth your structured settlement in fact you will be giving-up a portion of the full face value of your structured settle.

It’s because the businesses or private companies giving you such loans are making profit for themselves.

The pros and cons on structured settlement loans are wide and near but the question you must ask yourself before taking structured settlement loan is that are you ready to take such settlements and if you are really in need of such payment that is being offered to you by the purchaser.