If you’re in the midst of a personal injury lawsuit and you’re waiting for your case to wind its way through the legal system so that you can receive your settlement or jury award, you’re probably a veteran at this by now. You know you’ve got money coming to you, but times are tough financially; you don’t quite know how you’re going to make it until that magical day comes, the day when you have got your settlement check or jury award money in your hands, there to pay your bills and do so much more for you. However, there might be something you can do.
Settlement loans can give you part of your jury award or settlement money “now.” This isn’t actually your settlement money or jury award, but it’s a loan given to you based upon what you are likely to receive. How do these loans work?
Settlement loans work like this: You apply for a settlement loan through a company that specializes in offering this kind of loan. Unlike most loan companies, however, litigation financing companies don’t want to check out your credit, don’t want to look at your employment history, don’t want to know what you make, and don’t want any collateral offered against the possibility that you won’t pay the loan back.
What they DO want is for you to have a legitimate personal injury case pending either for settlement or eventual jury award, and they want to be sure that that case is likely to result in some kind of monetary compensation.
This litigation financing company will also want you to have hired your lawyer on contingency, meaning that he or she doesn’t get paid unless you win. In addition, your lawyer must have agreed to the settlement funding, in that he or she, too, will sign off on the settlement loans’ application.
If all of those things are true, you simply apply for settlement loans money, the litigation financing company approves your application, and then gives you a portion of your impending settlement or jury award, usually about 1/10 of it. When you settle your case or are given a jury award, you pay the money back plus interest and fees.
However – and this is the most important part of it, arguably – if you lose, you don’t pay the money back. Instead, you simply walk away with your settlement loans’ money in your pocket yours to keep, free and clear. You can see that this gives you a way to pay your bills while you wait, with no strings attached – and no more financial stretching. Why wait? Apply now.