Do you need money to help you cover costs and expenses while your lawsuit is pending? If so, settlement funding may be just what you need.

Settlement funding refers to a type of financing available to plaintiffs in some civil lawsuits. However, unlike traditional loans that can be accessed at any time, you can only seek this type of financial assistance if you have a pending lawsuit.  

This is because it is cash that is provided in anticipating a judgment or settlement in a civil case.

What Types of Cases Offer Pre-Settlement Funding?

You can access settlement lawsuit funding in several legal situations. Some of the most common lawsuits that will offer this funding option include:

  • Commercial
  • Employment
  • Product liability
  • Personal injury
  • Medical malpractice
  • Accident loans
  • Workplace injury
  • Wrongful death
  • Accident loans

Sometimes referred to as a pre-settlement advance, lawsuit funding, or lawsuit advance, this financing is unique from traditional loans. The term “loan” is only used to help make the concept easy to understand for those who may benefit from it.

Loans require repayment. Pre-settlement advances don’t. Even if your case is unsuccessful, you don’t have to repay what you received.

You only repay the advance if your case reaches a court settlement. The fees and interest charged for the advance vary based on the company you use.

How the Pre-Settlement Advance Strengthens Your Ability to Receive Fair Compensation

If you are waiting to learn the outcome of your lawsuit, a pre-settlement advance will help you cover day-to-day living expenses. Also, the lawsuit loan can help you create a stronger position with the defendant’s lawyers or insurance company.

You will receive a low-ball offer in many situations, especially if the defendant’s team learns you are experiencing financial difficulties. They may also begin using other types of high-pressure techniques to reduce how much you receive for your claim.

How to Get Pre-Settlement Funding

When you are interested in pre-settlement funding, the first step is to find a quality company. In most cases, you can begin the process online. After that, a few steps must occur to get the funds you have requested.

While each company may have a unique process, the basic steps of approval include:

  • The settlement company reaches out to your attorney
  • Your attorney gets the agreement
  • You and your attorney review and sign the agreement
  • You receive your cash

The process really is that easy.

Is Settlement Funding Right for You?

As you can see from the information above, settlement funding offers you access to funds before your lawsuit is finalized in or out of court. If you need funds now, this is a great option to consider.

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