Lawsuit settlement funding is similar to legal finance, legal funding, and litigation funding. They may be different terms but their goal is the same, and that’s to provide funding to plaintiffs as their case unfolds. Because the industry is somewhat new, there are still some people who don’t know such a finance service exists. If you’re involved in a protracted case, this service might prove useful.
Instances When Legal Funding Helps
If you filed a personal injury lawsuit, chances are you’re in no position to work, and aren’t making any money to cover your living expenses. You hope to get some kind of financial settlement when the case is resolved, but in the meantime you’re having trouble paying your bills not to mention incurring debts. If the case takes months or years to resolve you could face financial ruin, and that’s where a legal funding company can help.
A legal funding service will provide a cash advance as your case is being settled so you get the money you need to pay the bills. More importantly, you are not required to pay the lawsuit settlement funding company until your case has been settled. In other words you don’t have to pay any monthly fees so there’s no risk involved here. If you don’t win the case, you don’t pay any success charge.
Qualifying for Legal Funding
A legal funding company will determine if you are qualified by reviewing your case. Once it’s been determined you are qualified, you can apply from the company’s website or by calling them. The application process is free and many of these companies provide free legal consultation as well. If you are approved an amount will be offered, usually in the 10% to 15% range of the expected judgment or settlement value. The amount will vary from company to company so you need to look around first.
Is Legal Funding for You?
If money is not a problem or you’re willing to wait out a long, protracted legal case, you probably don’t need it. But if you’re concerned about mounting debts, Lawsuit settlement funding is definitely something to consider. Furthermore, legal funding provides litigants with cash to pay bills that you incur now, and if the case takes a while, this will be important.
The convenience provided by legal funding also brings relief from stress caused by the case. Legal cases can take their toll financially and this can lead to a lot of anxiety. With the help of a settlement team, a litigant doesn’t have to worry about bills not being paid on time. Second, legal funding is applicable in several cases such as personal injury, suffering injury from using a product, negligence and others.
You may also qualify for Lawsuit settlement funding if you get injured at work or have been unable to work due to the injury you sustained. While you can try other finance institutions, they have very strict requirements and approval can take weeks, if at all. With legal funding, it can take as little as a day.