How Inheritance Funding Works
Inheritance funding is an easy concept to understand.
It is simply the purchase, in advance, of the right to collect an agreed-upon portion of an heir or beneficiary’s future inheritance.
In exchange for that right, the inheritance funding company (the buyer) pays the heir (the seller) an agreed-upon lump sum of cash (the purchase price) that the heir receives immediately, without waiting for probate to close.
More specifically, it is a cash advance to purchase a portion (from a minimum of $5,000 to a maximum of 30-35%) of the anticipated future cash value of an heir or beneficiary’s inheritance. A legal claim, called an assignment, secures the right to collect a corresponding portion (the purchase price) of the heir’s forthcoming inheritance.
Heirs may inherit physical assets such as vehicles, boats, collections, artwork, businesses, livestock, stocks, bonds, investments, and royalties. They may also inherit intellectual property such as copyrights, patents, or trademarks, or any other tangible property, including houses, buildings, and real estate.
IMPORTANT: None of these physical assets’ value is counted when determining how much of a cash advance an heir qualifies for.
Only cash in the estate, and the cash value of all physical assets that are sold during probate and added to the estate and will be disbursed after probate is closed, are used to calculate the maximum cash advance an heir qualifies for.
To be eligible for inheritance funding: