When there is a personal injury settlement involving a minor, a prudent approach on what to do with those funds is placing them in a structured settlement. The utilization of a structured settlement can eliminate costly start-up and recurring guardianship fees that eat into the minor child’s recovery. A structured settlement provides tremendous flexibility on when the minor receives the money after reaching the age of majority. Payments can be established for attending college, the purchase of a car, a down payment on a home; the list of life’s milestones goes on.
If you are an attorney or parent and want to look after the best interests of a minor involved in a settlement, setting up a structured settlement should be discussed before any settlement funds are disbursed.
