The structured settlement secondary market is being regulated for, let’s face it, internal industry corruption. Greed has rendered it utterly toxic, and now Washington wants to get involved. Can you blame them, though in this post lead paint exposé environment? The Maryland reforms, many of which are spreading past the state, deal at length with the issue of forum shopping and factoring transparency. What some may laud as truly tough new regulation isn’t particularly impressive, though. The reason for this is simple: it fails to address the core problems within the industry: scraping and ruthless aggression in the generation and pursuit of sales leads.
Many were shocked and saddened by the idea that a bunch of Maryland lead paint victims could so strategically be targeted by factoring companies. The process of going through a factoring transaction was specifically examined by regulators for reform. That’s a fine start, as noted earlier – but why haven’t regulators bothered to ask the question how certain people are being targeted so exactly, with such efficiency. Scraping!
Legislators & Regulators: if you want to protect annuitants, you need to protect their privacy. Simply adding a few transparency measures into existing regulations won’t cut it. If you want predatory behavior to stop, you must remove the predators’ teeth and claws. Strengthen consumer protections and enhance annuitant record privacy.
Brokers & Annuitants: Don’t be fooled into thinking that this is it. It’s far from over. Know the ethical partners worth doing business with. Bentzen Financial doesn’t scrape or gnash its teeth in preparation for a juicy sales kill. We are referral based because it’s the right way to do business, and don’t buy our endorsements like some of our competitors.