Victims suffer many losses after a Minnesota car accident. The most significant loss was financial. Victims have taken the proper steps by getting medical attention, hiring a lawyer, and staying patient.
However, the recovery process is tedious and takes a lot of time. The insurance company and opposing counsel are using tactics to delay claims, hoping plaintiffs get desperate enough to accept a lower settlement.
Those tactics no longer work when you have a financial foundation and a Minnesota car accident loan. High Rise Financial offers pre-settlement loans with a straightforward process and fast approval times.
How Much Money Available in a Loan
Plaintiffs can benefit from Minnesota car accident loans that provide thousands of dollars to tide them over while they await compensatory damages. Taking a loan from your future lawsuit settlement is simple and does not require employment or credit checks. It does require cooperation from the lawyer representing the plaintiff.
Determining the amount you can get in a loan will depend on individual case factors. High Rise Financial will consider injury severity, merits of the claim, and total damages when reviewing an application. We will get this information from your lawyer and discuss the potential award with them.
After determining the case worth, High Rise Financial will calculate an appropriate percentage to offer, typically between 10 and 25% of your case value. Borrowers repay the car accident loan from their settlement, and there are no monthly payments or bills to worry about.
Costs of Car Accident Loans
Many plaintiffs wonder what the catch is and how much money they will lose if they take out a Minnesota car accident loan. The cost of the loans comes through a simple interest rate that is assessed in the beginning making it easy to determine how much you will pay back. Another question is how repayment works, and that’s also a simple process.
When taking out a Minnesota car accident loan, plaintiffs will offer their settlement as collateral for repayment. When plaintiffs resolve a claim and get their settlement, a portion will be sent to High Rise Financial, covering the loan and associated interest. The borrower only pays if they get a case resolution.
That’s it, no other costs come with car accident loans in Minnesota, and you can rest easy knowing you have a financial foundation.
Use Your Funds in Moderation
Car accident loans in Minnesota are beneficial and can ease the financial burden of a car accident. However, it is best to use the funds wisely and take out loans in moderation. Work with the High Rise FInancial team and your law firm to decide how much you should borrow and how long you will need to make it last.
Sometimes plaintiffs get into trouble because they use funds irresponsibly, thinking they will get a settlement sooner rather than later. Many times you can take out a second loan when the case is taking long but remember your settlement will repay any loans you take out. You can spend the funds as you wish, but most plaintiffs use them for daily expenses and to survive until the case is resolved.
Examples of fund uses include:
- Car payments
- Mortgage and rent
- Medical treatments
- General living expenses
Use the funds as you wish, but wisely allocate them and make them last. Your claim can take longer than you expect. Many plaintiffs will take more than they need, but we advise taking what is necessary even if you qualify for more.
Losing Your Case and Repayment
Legal funding is non-recourse lending and means plaintiffs are not responsible for repayment upon losing a lawsuit. When plaintiffs take out a loan, they must sign a funding agreement that specifies what happens if they lose their case. Another potential outcome is getting a settlement of less than the case value.
If there isn’t enough money in the settlement, what happens next will depend on what is in the funding agreement. Funding companies can claim the remaining amount of your settlement after attorney’s fees and other deductions. Conversely, the funding company can also require an agreement for plaintiffs to repay the remaining balance.
Before signing any contract, you must understand the terms and ensure your attorney is cooperative and agrees with the funding agreement.
Car Accident Loans Are Risk-Free
There are no risks in taking out a car accident loan in Minnesota, which many plaintiffs fear. These loans have no impact on your credit score and often help your car accident claim. The funding company absorbs most of the risk so victims can breathe easier when taking out a loan.
Plaintiffs only pay if they recover compensation.
Contributions to Car Accidents
Car accidents are common in Minnesota, and statistics help us understand what factors contribute to these accidents. For multi-vehicle crashes, driver inattention contributes to 22.7% of all collisions. Failure to yield contributed to 19.8%, and following too closely led to 14.2 %, with 6% being the cause of speeding.
These are only a few factors that cause an accident, with many others to consider. The cause of car accidents is essential to compensation claims because it determines who is responsible and will pay for a plaintiff’s losses. In 2018, Minnesota saw 450 people lose their lives in motor vehicle collisions.
Traffic collisions lead to $404 million in costs for road users. When a car accident does not result in a fatality, it leads to severe injuries, which cause financial strain on victims and their families. The same studies found that medical costs for car accident victims totaled $6 million and wage loss of over $621 million. Car accidents have substantial costs, and plaintiffs need financial relief.
Get a Minnesota Car Accident Loan Today
High Rise Financial is here to help victims of Minnesota car accidents. Lawsuit loans benefit plaintiffs who are struggling and need a financial foundation while fighting for justice. We have a team who will diligently review your personal situation and legal funding options.