A settlement loan or lawsuit loan might sound like the same concept as pre-settlement legal funding, but they 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 repayment on a monthly basis even if they lose their lawsuit.
Pre-settlement legal funding from High Rise Financial, on the other hand, has none of those negative impacts. We offer 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 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
Instead of getting a settlement loan to tide you over while your lawsuit concludes, get no-risk pre-settlement legal funding from High Rise Financial.
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. However, there are only a couple of requirements for qualification.
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 cases 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 negligence
- Medical malpractice
- Claims related to the Jones Act
- Product liability claims
You do not have to go to trial 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, 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.
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 is staggering.
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.
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 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.