How Lawsuit Loans Work if You’ve Been Injured on the Job
Imagine you’ve been injured in an accident. You’re not sure what to do next, but you know you need money to pay your medical bills and support yourself while you’re unable to work.
If you have an attorney, you may be considering taking out a lawsuit loan to help cover your costs but don’t know how to proceed if your lawyer refuses to help.
In this blog post, we’ll walk you through the process step-by-step. Stay tuned!
How To Get A Lawsuit loan?
A lawsuit loan, also known as lawsuit funding, is a type of financing offered to individuals who are currently involved in a legal dispute. With a lawsuit loan, an individual can receive a cash advance based on the potential value of a pending lawsuit and their ability to repay the funds.
Unlike traditional lending or credit products, a lawsuit loan does not require any credit checks, making it a popular option for those who either don’t have access to urgent cash.
To get lawsuit loans, an individual typically needs to complete an application that includes details about their case, such as the amount they seek in damages and relevant medical records. Also, they have to have an attorney representing them on contingency and their attorney has to be present while the application gets processed fully.
Once approved, borrowers will usually receive their funds in one lump sum within 24 hours.
The repayment of the advance plus any associated interest charges are required to be paid only if the case is won.
A lawsuit loan can be a valuable way for individuals facing large financial burdens due to legal disputes to get much-needed relief until their case has been resolved.
Are There Any Risks Associated With Getting A Lawsuit Loan?
If you’re considering a lawsuit loan you might be wondering if there are any risks involved. The truth is, there are always risks associated with taking out a loan, regardless of the reason.
One is getting funding from a predatory lender. Your rates should never be more than 3.5% flat per month.
For the most part, lawsuit loans have no risks since they are non-recourse and based on future settlement proceeds.
Also, there are a few additional things to keep in mind if you’re thinking about getting a lawsuit loan. First of all, it’s important to understand that most lenders will require you to have an attorney to qualify for a loan.
This is because the lender will want to ensure that you have a strong case and are likely to win your lawsuit. No-one will get approved for a funding without an attorney.
Finally, it’s important to keep in mind that if you do take out a loan, your attorney will be responsible for repaying the loan back to the company.
What are non-recourse loans?
Most people don’t realize that options allow you to get a lawsuit loan when they don’t have anywhere else to go, are there. These loans are called “non-recourse” loans, and they can be a great way to get the money you need to cover your expenses during a long legal battle. Here’s how they work:
With a non-recourse loan, the lender agrees to give you the money you need upfront, without requiring you to repay the loan if you lose your case. That means that if you don’t win your case, you don’t have to worry about repaying the loan. This can be a great option for someone who is facing a long and frustrating legal battle.
The downside of non-recourse loans is that they can be expensive. The interest rates are typically higher than traditional loans, and the fees can be substantial. If you are confident in your case and need the money to cover your expenses, a non-recourse loan may be the right choice for you.
Final Words
If you’re considering taking out a lawsuit loan, you might be wondering if it is worth it. The answer is that it depends on the lender. Some lenders will give you 80% rates per year while others will offer you a one time fee without the option of getting additional funds in the future. The best companies will offer lower rates than most funders.
However, it’s important to remember that these loans typically come with high-interest rates and fees, so you should only take one out if you really need the advance.
Have you been injured and are waiting for a lawsuit settlement? If so, you may be wondering how to pay your bills or make ends meet until the case is settled. Baker Street Funding, offers pre-settlement cash advances with low rates to help plaintiffs like you get through tough times.
They have years of experience funding lawsuits, and can provide you with a loan that will help ease your financial burden.
