- Lawsuit loans can be a lifeline for a plaintiff caught up in protracted litigation. Pre-settlement or lawsuit loans are a good option for people in the middle of a lawsuit because it is risk-free. This means that the lawsuit funding company will be unable to collect loan repayment from your bank account.
- Several cases involving personal injury will qualify for lawsuit funding. This includes;
- Car accidents
- Slip and fall injuries
- Medical malpractice
- Nursing home negligence
- Premises liability claims
- Animal bites
- Dangerous product claims
Remember that not all state law allows for this type of funding. Since some states prohibit lawsuit loans, a pre-settlement funding company may be unable to assist you in this case.
What are Lawsuit Loans
Lawsuit Loans are cash advances on your expected compensation or court award. The lawsuit loan is repaid directly from your lawsuit settlement package rather than your bank account. If you lose your lawsuit, you are not required to repay the pre-settlement funding.
While lawsuit loans do not have to be repaid if you lose your case, they do have to be repaid if you win your case.
Suppose you are a victim of an auto accident. You will be in physical pain and may suffer emotional trauma. At this point, you may lose your job and have medical bills to pay. So while your case is ongoing, how do you pay your bills?
This is where an accident loan will suffice. You can sort your bills with a car accident loan while you await compensation. While you recoup from your injuries and await your settlement payout, a car accident lawsuit loan may allow you to maintain a healthy standard of living.
You don't need to bother if your lease is due or you need money for shopping. Applying for pre-settlement funding can help relieve some of your financial burdens.
Getting Lawsuit Loan Online: Before You Apply
Before you apply for a lawsuit loan via online payment apps, you must do some research and findings.
When selecting a lawsuit loan company, there are several factors to consider. First, look for one that has been in business for a long time. This means that they have prior experience guiding clients through the difficult process of filing a lawsuit.
Research Different Companies
Before you begin your application process, ensure that your state law permits pre-settlement loans. Secondly, research! Look for a lawsuit loan firm that pays close attention to excellence, customer service, and satisfaction.
One place to look is Google Reviews. The company should have many reviews, including many five-star reviews. Also, examine the loan company's Better Business Bureau (BBB) rating as well.
Ensure that the Company Covers Your Case
Not every app will cover your personal injury case. You or your attorneys may wish to look for a pre-settlement loan app that provides litigation funding for a wide range of cases. Select a company specializing in personal injury litigation.
This guarantees that you are dealing with an expert team of specialists familiar with these types of claims. Some loan companies only fund a limited number of legal cases and are not all recourse-free.
You can find out by visiting the website. Check out the cases they cover and make sure it's without recourse.
Know the Interest Rate
When choosing a lawsuit loan, ensure the interest rate works for you. A high-interest rate may leave you with little to nothing from your settlement. A reputable legal funding company will make the interest rate on your lawsuit loan clear and will discourage plaintiffs from borrowing excessively.
You should only do business with a company that offers quick approval and low-interest rates. Also, ensure that the lender will not require you to pay more than your award or settlement amount.
The Application Process
The truth about getting lawsuit loans is that you won't know whether you qualify until you apply. Many lawsuit funding organizations provide legal funding for auto accidents.
All you have to do is apply to see if your case meets the company's eligibility requirements.
Getting a lawsuit loan online begins with the submission of an application.
Once you have decided on the app to use, it's time to begin! You will fill out an online form on the app. If you are having a hard time, you can call customer support for assistance.
On the form, you will provide the facts of your claim. Give a clear description of your case so it's clear to the reader. Also, include your lawyer's contact details.
The underwriters at the pre-settlement funding firm will review the specifics of the lawsuit to determine how much funding the company can provide. After reviewing your case, your delegate will ascertain whether or not your lawsuit is likely to settle. If this is the case, lenders may be willing to take a chance by giving you funds on your settlement.
The majority of applications are approved or denied within 24 to 48 hours. If the firm approves your application, they'll send a contract over.
You will receive a response outlining the agreement's terms and conditions. You may also get a phone call from a representative who will put you through everything in great detail.
If you accept their terms, you can sign the contract. Once your application is approved, you could receive a payment for your lawsuit loan within 24 hours.
There are no constraints on how pre-settlement funds can be spent. Unlike medical liens, once you sign the funding agreement, the funds are yours to spend as you see fit.
Lawsuit loans can be a lifesaver if you are stranded in an ongoing trial. Before you receive your compensation, you can sort your bills and meet your basic needs. Fortunately, most lawsuit loans can be accessed online. All you need to do is fill out the form and sign the contract if your application is approved.