safety of dcf income payments

Structured Settlements, where most DCF Income Payments come from, are monetary awards backed by annuities issued in compensation for injuries or other claims. These awards are negotiated by the parties, usually in a court case or out of court settlement. The winners of these settlements have legal counsel who have a duty to look out for their client’s interests, and consequently, when they opt for a Structured Settlement they are opting for the safety and well being of the clients over a long period of time.

The annuity companies that offer structured settlement annuities are the strongest in the industry- Met Life, New York Life, John Hancock, Allstate, Symetra, Berkshire Hathaway… these are generally AAA rated carriers and in the business of conservatively managing risk and paying claims safely and on time.

Almost by definition, with a structured settlement, you are dealing with the best annuity issuers right from the start.

What are DCF Income Payments?

DCF Income Payments originate as structured settlements of personal injury cases that include defined future payment streams backed by annuities.   

Individuals who sell some or all of their future payments do so in a court-ordered assignment process whereby the annuity issuers and legal counsel comply with state-specific transfer laws and IRS statutes.  DCF Exchange is a buyer of these payments and distributes DCF Income Payments through a network of financial advisors nationwide, including this website.

Purchasers of DCF Income Payments become the new payee of these transferred, in-force payment streams backed by annuities.  At no time are transferred payment streams pooled, aggregated, managed by or subject to fees of a manager. 

All purchaser acquisition funds and assigned payments are handled by a state and federally regulated bank and trust company in a dedicated escrow account environment.  

DCF Income Payments come in three categories:

For Income Now, use Immediate Income DCF Payments

For Income Later, use Deferred Income DCF Payments

For Safe Growth, use Lump Sum DCF Payments

DCF Income Payments Come From Top Rated Carriers


The transfer process making you a new payee under an existing payment stream is also very safe. There is a relatively uniform process adopted in 49 states that requires notifications, disclosures, and procedures to be followed. While the majority of the documentation is contractual, there is one step in the process where a court with jurisdiction over the original settlement also needs to rule that the transfer is in the seller’s interest.

While the court order is one key piece among several that properly document a transfer of payment rights, it actually does nothing to verify the payments. An investor’s name in the court order simply exposes the investor in a public manner. The process we use through our firm DCF Exchange protects investor confidentiality.

There are a variety of additional reasons that structured settlements are extremely safe. These are summarized below.


An insurance company issuing an annuity that backs payments due under a structured settlement is a party to the court ordered transfer process. The payment stream remains in force throughout the transfer process regardless of who receives the checks. Just because the payee changes as a result of a court- ordered transfer does not change the underlying payment stream or give the carrier any right to stop making payments.


There are five key items that document a case transfer and ensure legal safety of payments to you:

  1. Benefits letter from the issuer to the payee, which establishes that the Payee has the payments to sell,
  2. Court order changing the payee name to you or an entity that benefits you, such as our Business Trust
  3. Acknowledgement letter or stipulation agreement after the court hearing from the Issuer naming you or an entity that benefits you  as the new payee of the specific payment stream you purchased.
  4. Legal Review reviewing all documents, notices, filings, UCC statements and procedures in each case and every jurisdiction the case is subject to.
  5. Absolute Assignment of the cash flows from our entity that purchased the payments assigning the payments to you forevermore.


Because a typical client of ours purchases multiple DCF Income Payments, purchasing contracts in the secondary market virtually assures that you will place assets in several companies with no sacrifice to average yield or overall performance. You will spread your risk among many carriers, all generally highly rated, and achieve high yield diversification.

DCF Income Payments are extremely safe investments. If you haven’t yet, sign up to the right to view our live inventory and get started today!

Reach out to us if you’d like to:

  • Schedule a 1-on-1 video call to discuss your specific needs and situation
  • Ask questions about products, carriers, or DCF Income Payments
  • Discuss how a DCF Income Payments and newly-issued annuities may (or may not) fit into your portfolio

nathaniel pulsifer of dcf annuities

Nathaniel M. Pulsifer, Owner of DCF Annuities
(800) 246-1932 | [email protected] | Linkedin