Secured Line of Credit With a Structured Settlement As Collateral

[beekrock]

My question involves a banking matter in the State of: PA

I am the owner of a structured settlement that will pay out $1 Million over 15 years. I am looking to open a secured line of credit for as much as possible with the structured settlement as collateral.

#1. Is a structured settlement something that a bank would accept as collateral for a large credit line?

#2. Any idea what a typical loan-to-value would be on something like this? Rate?

I imagine that my local Wachovia branch doesn't get too many people coming through their doors asking about this, so I wanted to run it by the ExpertLaw crowd first.

[Mr. Knowitall]

The question of what a bank will accept as collateral is really something you would have to ask the bank. Some structured settlements are designed to be difficult to attach, and state law can also complicate things, so I have some skepticism that the bank would regard it as acceptable collateral. There are companies that buy structured settlements, and you may want to discuss that option with such a company.