You can fall prey of an accident, medical malpractice or incidences of civil rights violations, at any juncture of your life. Taking resort to legal procedures often turns out to be the only path that can compensate the pain, damage, medical expenses and also the lost wages. Lawsuits under personal injury law often takes a couple of years to be over and after it, plaintiffs can get a fair compensation in lieu of their damage. During the process of their lawsuit, they have to incur different expenses, but it becomes difficult for plaintiffs for covering those expenditures. This is where you can access different loans. Often they are termed as pre settlement loan or legal financing.
Covers different expenses
This loan helps in meeting different expenses and covers various bills. Unlike the traditional loans, these are ready cash advances, which are approved, based on the strength of the case. Traditional loans require immediate repayment, high rate of interest, monthly installments until the amount is paid in full. However, for this loan
- You need to pay, if you win the case.
- No monthly installments involved.
- Considerable or no rate of interest.
- Unless you have a favorable judgment and receive compensation, you need not pay them.
Process of application
No risk is involved while availing this loan. The funding companies that provide this loan in exchange of a share of the compensation that the defendants provide. The process of applying this loan is simple and does not take much time.
- You can call up the funding company or fill the online form that is attached to their website.
- On receiving the application, representatives, do a thorough research of the applicant’s case.
- The strength of the case, the amount of compensations, duration of the case all are taken into account.
- Representatives seek relevant documents of the case to substantiate the application.
- They also speak to the attorney of the case to get an insight of the case.
Approval is fast
If the representatives are satisfied regarding the strength of the case, then the loan is applied immediately. Often the companies dispatch loans as early as within twenty fours of applying for it. The position of the defendant and their ability to pay the compensation is also taken into account. You can avoid bankruptcy, poor credit rating, eviction with the help of this loan. On approval, of the loan you can have the amount transferred to your account. Plaintiffs need to sign a contract with the company while availing this loan.
Choose a reliable company
It is also important to choose a reliable and reputed loan company. You can contact a couple of companies that provide lawsuit loans. It gives you a brief idea of the cost of each of these companies. After seeking the best possible rates, you can choose a company that incurs less charge for the loan procedure. Up-front fees and service charges are not involved in this process. With so many options in hand, you can weigh the pros and cons of each of them and choose the one that suit your need the best. However, cheaper rates do not necessarily mean that they provide good offers and services. Avoid companies that charge fees even if the litigant have does not receive any compensation.
Irrespective of the size of the compensation, you will receive only a part of the payment. On average, plaintiff receives ten to fifteen percent of the compensation amount. You should also go through the repayment terms of each of these companies. Reputed companies do not have any hidden charges. During the lengthy lawsuit periods, this ready cash can help them you keep up with different expenditures and relieve them from the stress of financial constraint.
Author Bio: Jerry Bale works in a company that provides lawsuit loans. He explains that, in comparison to the traditional loans, these are easy to get. Loans are approved in a short span of time, and there is no scope of any monthly payment.