Can I withdraw a portion of money from my daughter's structured settlement? 9 Answers as of April 29, 2013I need to withdraw a small portion of my daughters $185,000.00 structured settlement from an insurance company to save our house from foreclosure. I lost my job and I'm unable to make my mortgage payments.
Hunter Law Office | Rachel Lea Hunter
Your daughter's structured settlement is for your daughter, not to save your house. I doubt that you would be able to pull the money out for your personal use but that is something you need to either review the documents or discuss with the attorney who put the structured settlement in place. However, if that money is for your daughter, common sense tells me that it is supposed to compensate her for some wrong/injury to her and that the money is to be used for her benefit, not yours. There are companies out there who will pay you a lump sum now in exchange for a future settlement. The problem is that these companies steeply discount of the money - i.e., they will only pay a small portion now. So this may not be realistic. If you need help with the mortgage, contact the NC Housing Finance Assistance agency or a local non-profit housing counselor. Get foreclosure counseling and see if you can obtain assistance through any of the foreclosure programs out there.
Answer Applies to: North Carolina
Edelman, Combs, Latturner & Goodwin, LLC | Daniel A. Edelman
This depends on the terms of the settlement. An attorney would need to review it. Generally a structured settlement can only be used to benefit the injured party, here the daughter, but housing might qualify, esp if she gets an interest in the house.
Answer Applies to: Illinois
Harris, Yug & Ohlinger | Roberta Ohlinger-Johnson
You will need court permission. But in my experience, in Nevada, that is exactly the type of raiding the piggy bank by parents that's forbidden. Assuming your daughter is a minor, it is your job to provide her a place to live, not her job to pay the mortgage through her injury.
Answer Applies to: Nevada