Strauss Troy Investigates Companies Purchasing Annuities for Violation of Interest Rate Statutes

Strauss Troy is investigating companies that purchase structured settlement annuities and retirement annuities. These purchases result an individual receiving a lump sum of money in exchange for giving up a stream of payments from an annuity. Individuals typically come to receive payments from an annuity either because they have entered into a structured settlement as a result of an accident or injury or because they purchased an annuity for retirement planning. In either case, the individual can be enticed by promises of a lump sum of cash in exchange for assigning payments under the annuity to another company. These transactions often involve hidden interest rates which are greatly in excess of the interest rates permitted by law in most states. As a result, the transactions may be illegal.

There are a number of companies that advertise the purchase of structured settlements on the internet, radio, and television. The most visible of these companies is JG Wentworth. Other companies include Fairfield Funding, SenecaOne, Woodbridge Structured Funding, LLC, and Stonestreet Capital.

The laws in some states require specific disclosure and even approval of the sale of an annuity received in a structured settlement. These laws do not apply to retirement annuities purchased by these companies. The commissions, fees, and interest charges associated with the purchase of a settlement or retirement annuity can be excessive. If these charges violate state or federal law, you may be entitled to damages or other relief from the company purchasing the annuity.

If you would like more information about this investigation or have any questions concerning your rights or interest, please contact:

 

Contact:
Richard S. Wayne, Esq., rswayne@strausstroy.com
Ronald R. Parry, Esq., rrparry@strausstroy.com
Robert R. Sparks, Esq., rrsparks@strausstroy.com
(513) 621-2120

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