Explore our pre-settlement guide with more in depth information and details on these lawsuit loans that will explain everything you want to know. For additional information read these guides:
With many bills to settle, such as medical expenses and other costs related to their lawsuit, personal injury victims end up struggling financially. This forces some to settle for a lesser compensation than they ought to have. The question is, why can’t they hold until they get paid what they deserve?
If you’ve faced a personal injury claim before, you can agree that maintaining a financial balance between the moments you file your claim until the case ends is not easy. Not many plaintiffs are financially stable to manage their living expenses and comfortably take care of the insurance and lawsuit claim cost while waiting for the court’s outcome. And this is where the pre settlement loans come in handy.
Like other financing solutions, this funding will ease the financial burden of personal injury victims. Are you wondering how this happens? Let’s dive into more details about the pre-settlement loans to help you make a decision.
What is a Pre Settlement Loan?
A Pre settlement loan, also known as a lawsuit loan or litigation funding, is a financial intervention designed to help financially struggling plaintiffs. Ideally, it’s a cash advance for their upkeep as they wait for their settlement check. The funding is based on a portion of the plaintiff’s settlement and attracts interest like traditional loans, only that the rates on lawsuit loans vary.
While a pre-settlement loan offers instantaneous relief to the plaintiff, it is non-recourse. Meaning the lender holds the repayment on potential future compensation. So, the personal injury victim can only pay when the case gets resolved. If the victim loses the claim, the lender takes over the financial liability for the loan.
Provided your legal claim is strong and promising, you can apply for a pre-settlement loan. This lawsuit cash advance will help you manage your bills when awaiting fair compensation. Note that the funding ought only to finance your living costs.
How Do Pre Settlement Loans Work?
While lawsuit or litigation financing is a notable funding solution for plaintiffs, you must have a higher probability of getting a winning judgment to apply for the funding.
Before applying for the pre settlement loan through the legal funding company of your choice, you must ensure you’ve filed your injury lawsuit. Your potential funding company will evaluate your claim to pre-determine your settlement and the possibility of getting a favorable judgment. If the lawsuit funding company gets convinced that you are likely to get the compensation, they will fund your request immediately.
In return, you must agree to pay back the principal loan amount plus a specified fee on receiving your compensation. You won’t be required to pay anything before your case is settled or ruled. The payments you make towards the cash advance are a portion of your lawsuit settlement.
What Is the Cost of the Lawsuit Funding?
The monthly interest rates for lawsuit loans ranges from 2% to 4% per month. So, the amount you repay for the pre settlement loan depends on the duration the case will take before settlement.
The litigation funding company takes their share after you have settled all other expenses related to your lawsuit. Once the case ends, prioritize to pay off the topline expenses. These are;
• The lawyer’s fees. Usually, one-third or one-half of the amount awarded.
• Litigation expenses. Includes court fees, copy and process server expenses.
• Medical liens
• You’ll then pay the legal lender from what remains after paying off the above-listed expenses.
What Happens If You Lose the Case?
As a borrower, lawsuit financing serves to your advantage. In the event you lose to your defendant, you will not repay the amount borrowed. Similarly, if you settle for less than you deserve, you’ll not pay for more than the awarded settlement.
Types of Cases Eligible for Pre-Settlement Loans
When your life is in crisis following an injury, your bills will not wait until you receive the entitled settlement. So, you’ll have to consider getting a lawsuit loan to help cater to your expenses. But should you reach out to a legal funding company whenever faced with an injury?
Lawsuit funding companies provide financial support towards a wide range of personal injury cases, such as;
Every product must prioritize safety and proper functionality, but some don’t meet these requirements. Sadly, they find their way to the market. These defective products can cause injuries, and consumers have a right to sue the specific manufacturer. Most of the highly reported faulty products include;
• Automotive components
• Industrial equipment
• Medical equipment
• Consumable goods
• Power tools
Establishing liability in such claims can be complicated, considering the intense investigations and product testing procedures involved. Don’t be left financially vulnerable. Seek litigation funding to help maintain your financial stability when pursuing your product liability claim. You’ll be at peace as you wait for your claim judgment.
Motor Vehicle Accidents
A car accident can be fatal and devastating. If you escape death, you may suffer injuries and lose your ability to provide for your dependents, but your financial obligations will not go on hold. Being eligible for a pre-settlement loan is a great alternative to restore your financial stability as you pursue justice and settlement for the injuries caused.
Construction works are challenging and risky. Lack of adherence to the proper safety regulation during construction can lead to the death, injuries, or disability to the affected victim (the worker or passerby), causing financial struggle to them or their family. Most of the construction site injuries happen due to negligence that includes:
• Heavy construction equipment
• Collapsing of the walls
As a victim, you can seek pre settlement funding and ease the financial storms of suffering personal injuries. You’ll be at peace as your attorney fights to ensure you get adequate compensation.
Slip & Fall Injuries
Slips and falls are common accidents often classified under premises liability lawsuits. They mainly occur due to the negligence of the premise manager or custodian. These type of injuries can be a result of;
• Poor lighting
• Cluttered floors
• Slippery floors
• Damages on the floor, sidewalks, or stairs.
They can cause death, chronic pains, or disability. If you or a loved one happens to be a victim of slip and fall accidents, this may lead to financial uncertainties. The good news is a pre-settlement loan can ease your financial distress, allowing you to focus on your recovery as you wait for the outcome of your claim.
Pets are a man’s best friend, but some situations can turn sour, especially when confronted by an aggressive dog. Some people have suffered lifetime scars, fear, and fractures following dog attacks. You shouldn’t struggle to make ends meet as you nurse the injuries. A lawsuit loan will lift any financial burdens, allowing your lawyer ample time to file a winning case.
When you trust the care of your loved one to a particular medical facility, you expect them to be treated well and cared for. Sadly, some medical specialists turn out to cause death or injuries suffered by their patients. These tragedies happen due to;
• Emergency room errors
• Anesthesia errors
• Birth injuries
• OBGYN errors
• Medication errors
• Operation errors
These cases will require hefty financial resources to prove your claim and may drain your savings. A lawsuit loan comes in handy to ensure you can handle your financial obligations like relocating your patient to a better facility or taking care of day-to-day expenses.
Property owners must ensure safety for their property occupants and visitors. But like many calamities, tragedies may strike due to poor premise maintenance or insecurity in the premise, causing you to sustain severe injuries. As you seek compensation, it may take longer before you get your case judgment. But no need to withstand financial strains when you can apply for litigation funding.
Elevators help ease accessibility in most commercial facilities, but they can also be a menace if not properly maintained. If you encounter an elevator injury establishing who is responsible between the property owner and the maintenance service company can take long. But don’t suffer due to the negligence of any third party; take out a pre-settlement loan.
While work-related injuries come with many benefits like lost wages, medical care payments, and compensation to family members, they can sometimes take longer to resolve, leaving you in a serious financial burden. But provided you qualify for a lawsuit loan, this funding can relieve you of financial distress as you wait for your case judgment.
Other Type of Cases Include:
• Wrongful death
• Pharmaceutical cases
• Maritime injuries
• False arrest
• Discrimination and wrongful termination
• Legal malpractices
Benefits of Pre Settlement Loans
Taking out a lawsuit cash advance to finance your daily expenses as your personal injury lawyer fights to get you a worthwhile settlement is a vital move. The loan comes with various benefits like:
No risk attached
Besides not paying any application fees, the loan repayment is dependent on your case win. Meaning if you lose the claim, you’ll get to keep the funds.
Easy application process
It is faster and requires no extensive background checks. The lender relies on your lawyer to verify the details you provide on your application form.
No Funds accountability required
The lenders do not require you to account for your expenses. You can use the loan as you please; whether you want to pay for your rent, medical bills, daily costs, or any other costs, you are free.
Allows you to win
When you are under no financial pressure, no one will manipulate you to accept compensation that is not worth the damage caused. This gives your lawyer enough time to compile a winning case.
What’s Next? Apply for a Pre Settlement Loan Today
Why struggle to pay for your basic expenses when you can get a pre-settlement loan? Days are gone when you would overlook your financial obligations. Today, you can access immediate cash advance.
But as you consider getting a pre settlement loan, remember different legal funding companies will have different interest rates. Take time, evaluate the offers available for you. Ensure you apply with a reputable and trustworthy lawsuit funding company that’s not out to take advantage of your situation.
Why choose us?
We have your best interest at heart. In comparisons between JG Wentworth & 500 Cash Out we come out on top with positive reviews versus their negative reviews. So, trust us to offer you a risk-free financing solution. We understand the financial burdens attached to injuries and strive to ensure that you don’t face any financially due to the negligence of another party.
Unlike some lenders who outsource the funding services, we fund you directly, giving you a chance to enjoy;
• The best rates in the market
• Immediate approvals
• Cash advance within 24 hours of your application
• Access to limitless offers at no hidden fees
We cover a broad range of cases, and we won’t base our funding on your credit. With us, no charges on the application, and we don’t owe you if you lose. We’ve helped thousands of plaintiffs live peacefully until the end of their cases. Why not you? Call us today!