It may be time for regulators and industry leaders to improve the structured settlement factoring industry for consumers who need liquidation of their periodic payments. Many will argue that the structured settlement factoring industry is fine "as it is," but these improvements will help both the primary and secondary markets. Here are 10 improvements that can be accomplished by summers end:
- Improved education for tort victims before they need to factor structured settlement payments.
- Stricter advertising regulations for structured settlement factoring companies.
- Better leadership from the NASP (National Association of Settlement Purchasers)
- Development of the NASP website.
- Increased presence of the NASP.
- Regulations justifying structured settlement broker commissions in factoring transactions.
- Regulations to penalize factoring companies for not completing a transaction in xx weeks payed to the tort victim.
- Licensing for all structured settlement factoring companies.
- Standardized caps on structured settlement factoring discount rates.
- Better communication between the primary and secondary markets.
