What’s the Difference Between a Settlement Loan and Pre-Settlement Legal Funding?

A settlement loan or lawsuit loan might sound like the same concept as pre-settlement funding, but these financial products are very different. The Center for Public Integrity, along with an exposé by the New York Times, notes that lawsuit loans or settlement loans often leave the borrower worse off than when they started. They end up having to pay back two or three times the amount they borrowed and are often locked into monthly repayment period, even if they lose their lawsuit.

High Rise Financial is a pre-settlement funding company offering pre-settlement funding that has none of those negative impacts. Our pre-settlement funding company offers financial assistance to injured people waiting on their lawsuits to resolve at no risk to them! What do we mean by “no risk”? Consider this:

• NO compound interest (instead, we charge a flat funding fee)
• NO monthly payments (instead, your attorney sends us the repayment out of your settlement or jury award check)
• NO hits to your credit (pre-settlement legal funding does not require a credit check and does not show up on your credit report
• NO repayment if you lose your lawsuit

Lawsuit Settlement Funding Uses

If you have been injured in a car accident or another type of personal injury accident, it is essential that you seek medical attention immediately. You may have broken bones, suffered internal injuries, lost limbs, or even been paralyzed. These types of accidents can cause serious financial problems for victims. For example, if you are unable to work due to injuries sustained in an auto accident, you could lose income while recovering. Additionally, you may incur costs related to your treatment, rehabilitation, and recovery. While you are recovering and waiting on a fair settlement, you could face additional bills like rent, utilities, food, clothing, and transportation.

settlement loan may help cover these unforeseen expenses. Pre-settlement funding allows you to borrow funds against potential future settlements, awards, judgments, or court decisions. This way, you do not have to worry about paying for your medical care, rehabilitation, and recovery out of pocket. Instead, you simply repay the settlement loan advance over time.

Settlement Loan Advances Can Help Cover Unforeseen Expenses

Once you receive a settlement or judgment, you should consult with an attorney to determine whether you qualify for a lawsuit cash advance. If you do qualify, you can potentially get money from a legal funding company to help cover your loss of income.  Many use the settlement money to pay for things like:

Medical Care – Medical care can cost thousands of dollars. However, if you have a settlement advance, you won’t need to worry about paying for this expense.

Rehabilitation – After suffering an injury, you may need to undergo physical therapy, occupational therapy, speech therapy, counseling, or other rehabilitative treatments. With a settlement loan advance, however, you don’t have to worry about paying these costs.

Recovery Costs – If you were involved in a car accident, you may need to make repairs to your vehicle. In addition, you may need to replace damaged property such as furniture, appliances, clothes, or electronics. If you have a settlement loan advance, you won’t have to worry about making these payments.

Other Expenses – There are many other unexpected expenses that arise following an accident. For instance, you may need to buy new shoes, toiletries, or household items. If you have a lawsuit pending, you may also be required to pay filing fees, deposition transcripts, witness fees, and other miscellaneous lawsuit funding costs. By using a settlement loan advance, these expenses become much easier to handle.

Instead of getting a settlement loan to cover living expenses, like mortgage payments, medical expenses, and more, while your lawsuit concludes, get no-risk pre-settlement legal funding from High Rise Financial. Learn more about pre-settlement loan here.

To apply for free, call (877) 735-0016

Qualifying for Pre-Settlement Legal Funding

Given all the perks listed above, you might be forgiven for thinking that pre-settlement legal funding is available for a very select few. It’s natural to ask “what cases qualify for legal funding in Jacksonville,” or anywhere else you might be trying to obtain a lawsuit loan. However, there are only a couple of requirements necessary to qualify for Atlanta lawsuit loan alternatives, or wherever you are pursuing your case.

You may be able to obtain lawsuit funding outside of a traditional loan or personal loan in nearly any case in which you expect to receive financial compensation by way of lawsuit settlement. There are only a couple of requirements for qualification for a lawsuit loan.

For instance, to receive pre-settlement loans in Glendale or lawsuit funding in another state that allows it, lawsuit loan companies may require as little as the following:

File a Personal Injury Lawsuit in Court

First, you need to have a valid lawsuit filed in court for a personal injury claim. According to the American Bar Association, personal injury claims stem from damages done to you by negligence or through the liability of another party. Common types of lawsuits we’ve funded in the past include:

• Auto accidents (including bicycles, trucks, and pedestrians)
• Dog bites or attacks
• Slip and fall incidents
• Faulty medical device injuries (like transvaginal mesh or hip implant lawsuits)
• Nursing home abuse
• Medical malpractice
• Claims related to the Jones Act
• Product liability claims

 

You do not have to go to trial against an insurance company in order to get pre-settlement legal funding. In fact, most personal injury cases settle before ever reaching the first court appearance. However, we do require that your lawsuit be filed in court for you to be considered for a lawsuit advance, as this makes the situation official.

Get an Attorney or Law Firm

High Rise Financial exclusively works with clients who are represented by a lawyer or legal team. In part, this is because having an attorney adds validity to your claim. It’s also because we work directly with your attorney for repayment. Here is how that process works:

• Lawsuit settles: your case concludes with a win for you.
• You get your check: the at-fault party sends the compensation amount to your attorney.
• We get repaid: your lawyer sends High Rise Financial the agreed-upon repayment amount.
• You keep the rest: that’s the end of the repayment process, and you keep the rest of your settlement package after any applicable lawyer’s fees.

Keep in mind that working with an attorney is almost always better than trying to go it alone. With a lawyer on your side, you have a much better chance of getting more compensation even after taking out the cost of hiring an attorney.

To apply for free, call (877) 735-0016

Understanding Non-Recourse Debt

The Internal Revenue Service classifies all debt in two categories: recourse and non-recourse. Many settlement loans and lawsuit loans offer recourse debt, while pre-settlement legal funding is non-recourse. The difference in these types of financial relief is staggering.

Recourse Debt

When you take out a settlement or lawsuit loan that involves recourse debt, you are held personally liable for the entire amount that you owe. When you consider that these companies often charge exorbitant compound interest rates, you can end up paying far more than you bargained for. Even worse, they can garnish your wages, taking part of your paycheck regardless of your consent. This obviously negatively offsets the financial relief you originally sought out.

Non-Recourse Debt

Pre-settlement legal funding from High Rise Financial is a form of non-recourse debt, which is designed to protect the borrower. You are not held personally liable for the amount you owe. Once we take our repayment out of your compensation package, that’s all we can pursue. Even if we wanted to, we would not be able to go after you for additional monies. We offer our pre-settlement funding as non-recourse debt because we are committed to helping you — not taking advantage of you like some other lenders.

Apply Today for Your Funding

Get up to $250,000 in your bank account in as little as 24 hours by filling out the form on our Apply Now page. Our underwriters will take over from there, assessing your case and deciding how much High Rise Financial can offer you.

If you have any questions regarding pre-settlement legal funding, call our team today at (877) 823-4377 or email us through our contact page.

Call or text (877) 735-0016 or fill out our form to apply today for free.

 

Call or text (877) 735-0016 or fill out our form to apply today for free.