SEARCH:
SUBSCRIBE TO OUR NEWS FEEDrss feed

Will Pre-Settlement Lawsuit Funding Work For You?

By Frank Desaille on April 3, 2009

If you are in the process of taking an individual or company to court to claim compensation after an accident or other incident then you probably already realize that this can be a long and drawn out process. Although you may have a fairly good idea that you will get some money in the end that isn’t necessarily much help to you now.

The problem here for many people in this situation is the fact that they actually need cash right now. The accident that they had, for example, may mean that they cannot work or that they need specialist care and attention. A bit of cash coming in at this stage can often seem more useful than the later settlement itself.

Many finance companies nowadays have therefore started offering funding to help people in this kind of situation tide themselves over financially until their lawsuit is settled one way or the other. Here, the finance company looks at your case, assesses the likelihood of you winning it in the first place and then, if things look good, they may agree to advance you a specific cash sum to help you out.

The finance company here has to take the risk that you will actually win your case. If you don’t then you shouldn’t have to pay back the cash advance(s) that it made. The money is made here by these funding companies when and if you win a settlement.

So, if you do win then you will have to pay back the money that was advanced to you as well as any fees that were levied for giving you the cash in the first place. Measures have been taken here to make sure that you won’t be out of pocket. So, for example, if you took a higher sum of money as an advance than you win then you will only pay a proportion of it back.

The downside of this kind of arrangement is the fact that the fees that can be charged can be relatively high. Paying back your advances and your fees could see a high proportion of your actual settlement eaten away. The fees charged here are high to reflect the risk taken by the finance company that you might not win at all and they might not get all or any of their money back.

If this, however, seems like a good option to help you out of your fix then do make sure to take legal advice before you choose a company to use. It is also really important to check how you will be charged and how the company’s fees work. Some finance companies here, for example, will simply charge a fixed fee that will apply no matter how long your lawsuit takes. Others may charge a monthly fee which can work out more expensive in a long lawsuit.

So, shop around to see what kind of cash advances you could potentially be offered and how much they will cost you in real terms. Your lawyer may be a good place to start here as he/she may be able to put you in touch with a reputable firm.

About the Author:

Bookmark/Share this Post by:bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark bookmark

Readers Comments

You must be logged in to post a comment.

Business »

CEO Executive Recruiters – CEO Headhunters – Find The Talent And Get The Job

July 28, 2010

When my firm goes into a privately held corporation to create strategies for expansion and a solid foundation before initiating the ‘go public’ process the first thing we do is analyze the CEO,CFO and COO professional pedigree and many times the current executives need to step back and allow us to bring in professional ‘C’ level management so that the company can go public, attract investment dollars from accredited and institutional money sources.

Finance »

The Credit Card Review

July 29, 2010

Do you get several credit card applications in the mail each week? How do you know which one is right for your specific needs? An important thing to do is research credit card reviews. There is information out there on just about every company wanting your business. Comparisons are made according to interest rate, balance transfers, cash back, small business needs and student credit cards.

Health »

One Step Colon Cleanse – Get Free Trial Of The Top Colon Cleanse

July 29, 2010

Maintaining your colon clean is definitely an important action to become followed to lead a wholesome existence. If to a lot of wastes maintain clinging towards the walls from the colon, it’ll turn out to be hard for that waste to leave your program, and therefore leading to well being problems and improper function from the digestive program.

Education »

Benefits Of Sending A Child To An Independent School

July 25, 2010

In recent years, more parents have become concerned that their children are not receiving a quality education in public schools. The high rate of teen drop outs, an increasing rate of school bullying, budget cutbacks, and overcrowded classrooms, has resulted in many parents seeking an alternative to the public education system. One educational alternative that is now becoming a popular choice for parents seeking a better education for their children is Independent Schools.



  • Investing »

    The Importance Of Life Insurance Quotes

    July 4, 2010

    The importance and value of getting the right life insurance policy is something that goes without saying. The security of knowing that your finances are going to be alright whatever the circumstances are what should come from having the right cover. Easing the impact on your budget, however, is also something that we all look for, and so getting the best deal available is the ideal scenario.

    Currency Trading »

    A Managed Forex Account Can Be More Profitable

    July 29, 2010

    It’s fun to trade with Forex accounts, but sometimes life gets in the way with your trading. You don’t have to let your money sit alone and not grow. There are options for you to let your money work when you don’t want to.







  • Do you have good to fair credit? Creditcards.com APPLY HERE


  • SELECTED HEADLINES

    Stock Market »

    Learn To Invest Money In Small Cap Stocks And Make Triple Digit Profits

    July 11, 2010

    When an organism investor wants to manuscript up his ...

    Technology »

    Top Accessories For The Motorola Droid 2

    July 26, 2010

    With the just-announced Motorola Droid 2 hitting Verizon Wireless ...

    Travel »

    Zoom Lens Are Extremely Versatile

    July 29, 2010

    Lenses are not the only supplies you should look ...

    Movies »

    Live Wedding Bands – Have A Day To Remember!

    July 29, 2010

    Employing the services of live wedding bands to play ...

    Politics »

    Why Hire Private Detectives?

    June 17, 2010

    There are always reasons why one may desire to ...

    Sports »

    Patriots Survive Tough Fight Against Ravens

    July 27, 2010

    Two weeks after being thoroughly outplayed by the New ...

    Finance »


    Health »


    Insurance »


    Internet Marketing »


    Investing »


    Mortgage »



  • 120x600 Begelow Chemists


  • Business »

    CEO Executive Recruiters – CEO Headhunters – Find The Talent And Get The Job

    July 28, 2010

    When my firm goes into a privately held corporation to create strategies for expansion and a solid foundation before initiating the ‘go public’ process the first thing we do is analyze the CEO,CFO and COO professional pedigree and many times the current executives need to step back and allow us to bring in professional ‘C’ level management so that the company can go public, attract investment dollars from accredited and institutional money sources.

    Finance »

    Board Of Directors Jobs – CEO Recruiter – CFO Headhunter – How To Get Top Executive Jobs

    July 28, 2010

    If You’re Seeking Board Of Directors, CEO Jobs, CFO Job Offers Or Attention From Executive Recruiters, Here Is What To Do. Obviously people want what they can’t have, it’s written in our genetic code to desire what we don’t have and fight for what seems achievable.

    Health »

    Reduce Weight The NutriSystem Way

    July 28, 2010

    Apple Granola Bar, Blueberry Muffin, Cranberry Orange Pastry, Double Chocolate Muffin, and Chewy Chocolate Chip Granola Bar, these are just a few of the tasty deserts that NutriSystem has to serve. But of course, there is a different set of NutriSystem food for breakfast, lunch, and dinner. The NutriSystem weight loss monthly package consists of twenty eight breakfast foods, 28 lunches, 28 desserts, and 28 dinners. The diet doers can also get a week of free meal.

    Insurance »

    How Do I Save On Auto Insurance Boca Raton FL?

    July 28, 2010

    Consumers have a lot to think about when they look to obtain automobile policies and making the right decision can be a bit tough if the motorist is unfamiliar with their options. Although there is not a particular policy that can fit every driver or their budget, it is important to get the coverage that would be needed to protect policyholders best. Try Boca Raton Auto Insurance for a cheap auto insurance quote.

    Business »

    ShoeMoney System Review

    July 28, 2010

    Is Shoe Money System an overhyped Internet marketing product or just an outright scam? Prior to the release of this new course, Jeremy Schoemaker, the owner of this course, released a highly informative video that reveals free information about some of the ways he uses to make money online. Many people including myself were able to benefit greatly by listening to the advice he gave through his free video.