Waiting for your settlement – and watching it slowly slip away – only add to the stress you feel during a lawsuit. Even if your case is solid, you could miss out on your award if you can’t afford to stay in your legal fight. You’re especially at risk if you face crushing bills and a loss of income.
With a lawsuit loan, also known as pre-settlement funding, you can take home part of your settlement now instead of waiting weeks, months, or even years for it. Best of all, there’s no risk to you from a settlement loan and you don’t have to worry about repaying it.
What Is a Lawsuit Loan?
Depending on your case, you can reliably expect a settlement payout within a given range. A lawsuit loan builds on this idea and treats your settlement as collateral. If you need money during your lawsuit for any reason, a lawsuit loan allows you to borrow against your settlement.
Lawsuit loans are provided to plaintiffs with active lawsuits by legal funding companies. While they are often called “loans,” pre-settlement funding is treated by courts as an investment. This substantially alters their risk profile compared to typical loans from a bank. As investments, lenders shoulder all of the risk associated with them, while borrowers like you have none.
A lawsuit loan can save you from turning to other sources of funding, such as a personal loan, or even credit cards. The process to obtain a lawsuit loan is also simple and can typically be completed within minutes. If you’re in need of cash now, or simply want a nest egg to rely on as you fight your lawsuit, then a lawsuit loan could be right for you.
Click to contact the Silver Dollar Financial Team today or Call +1(844)871-0628
How Do Lawsuit Loans Work?
The process to obtain a lawsuit loan is fairly straightforward and consists of three easy steps:
- First, you’ll apply for a lawsuit loan with a legal funding company.
- Next, the legal funding company will review the information of your case with your attorney.
- Finally, you’ll receive an offer and money in your bank account, usually within 24 hours.
Unlike other forms of debt, lawsuit loans don’t require a credit check. There is no employment verification for a pre-settlement loan, and you don’t even need to be employed to receive one. All that you need for pre-settlement funding is a pending lawsuit and a lawyer who accepts lawsuit loans.
The best part about a lawsuit loan is you’re under no obligation to repay it with your own money. The lender will be repaid with money from your settlement. If you’re worried about the outcome of your case or need money and want to avoid taking on further debt, then a lawsuit loan could be the perfect answer.
What Can Lawsuit Loans Be Used For?
If you’re filing a lawsuit, it’s likely that you’ve suffered significant financial damages. A lawsuit loan can help you cover these as you fight for your maximum settlement. As such, lawsuit loans can be used to cover a wide range of expenses, including the following:
- Medical bills
- Rent or mortgage payments,
- General living expenses like groceries or utilities
- Car payments
- Childcare expenses
- Paying off debts
Once you receive your lawsuit loan, the money is yours to spend however you would like. There are no restrictions on how you can use it – or not use it.
Some people choose to take out a lawsuit loan just so they can retain some of their settlement without worrying about losing it. Others prefer to have some savings on hand that can provide an added measure of financial security. With more cash on hand, plaintiffs who take out lawsuit loans also feel more comfortable with giving their lawyers more time to build a winning case.
What Types of Lawsuits Qualify for Legal Funding?
If you’re waiting for a lawsuit settlement, then it’s very likely you can qualify for legal funding. Some of the most common types of cases that we offer pre-settlement funding for include the following:
- Personal injury
- Car accidents
- Medical malpractice
- Defective device
- Premises liability
- Employment disputes
If your case isn’t listed here, it may still qualify for legal funding. Once you apply with us, we can determine how much lawsuit funding we can offer for your case. We offer legal funding for a wide range of cases and can most likely assist you.
Apply Now for Pre-Settlement Funding
Can My Lawyer Prevent Me from Getting a Lawsuit Loan?
Your lawyer technically can’t stop you from getting a lawsuit loan. However, if they don’t want to accept third-party legal funding, then you won’t be able to get a lawsuit loan without getting a new attorney. Depending on the complexity of your case, it can be very difficult to change lawyers once your lawsuit has been filed.
However, legal funding companies only work with contingency-based lawyers, and most are accepting of third-party legal funding. If you think you’ll need legal funding for your lawsuit, it’s a good idea to speak with your attorney as soon as possible.
What Are Lawsuit Loan Fees?
Lawsuit loans can carry substantial fees if you’re not careful. In some cases, you could pay interest equal to anywhere from 25% to 60% – and even more – of your lawsuit loan. In cases that last for a year or more, you’re especially at risk of losing more of your settlement to interest payments.
You can avoid the risk of losing much of your settlement to interest payments by shopping around for a lawsuit loan. Instead of settling on your first offer, don’t be afraid to look around to find the best rate. Be sure to avoid lawsuit loans with high, compounding interest rates, which can quickly add up, even if your case is resolved quickly.
With a reputable legal funding company, applying for a lawsuit loan takes just a few minutes. This means you most likely have time to compare offers for legal funding to find the best one.
How Many Lawsuit Loans Can I Get?
There’s no official limit to the amount of pre-settlement lawsuit loans you can take out. It’s normal for plaintiffs to take out a second or even a third loan during the progress of their case. It’s difficult to predict just how much money you’ll need at the start of your lawsuit. A good lender will work with you to get you the funding you need to win your case.
While you can take out as many lawsuit loans as you want, most lenders will only lend you 20% of your expected settlement. If you need more after this point, you will usually have to accept a settlement buyout offer.
If you ever feel like you need more legal funding, don’t hesitate to contact your legal funding lender for another lawsuit loan.
What Happens If I Lose My Lawsuit?
Many people who take out a lawsuit loan are already facing financial trouble. That makes them worried about taking on debt for their lawsuit, especially if they run the risk of losing their case.
You won’t need to worry about any of this if you take out a lawsuit loan. If you lose your case, you won’t need to pay anything back. Unlike some other types of debt you might be more familiar with, like credit cards or personal loans, lawsuit loans are a nonrecourse debt. This means you’re under no obligation to repay the loan with your own assets.
Any lawsuit loan repayment will come exclusively from your settlement. This means that if you lose your case, your lender absorbs all losses and you owe nothing. You also won’t ever owe more on your lawsuit loan than your settlement is worth. With a lawsuit loan, you get peace of mind that you can’t find with other forms of financing.
Apply for a Lawsuit Loan Today!
Silver Dollar Financial can provide you with a lawsuit loan for your upcoming settlement. Apply now and you could be approved for pre-settlement funding in as little as 24 hours. In as little as a day, money from your settlement could be in your account and ready to be spent however you want.
Our non-recourse lawsuit loans pose no risk to you and come with low interest rates. We want to make sure that you’re able to take home as much of your settlement as possible and structure our legal funding offers to do just that. Contact us today and soon you could have the money you need to get the justice that you deserve.