Auto accident lawsuit loans are cash advances that help you cover medical bills incurred due to crash-related accidents. The cash also enables you to pay for your housing and other expenses as you wait for your lawsuit loans to get settled.
Legal funding companies will give you fast lawsuit funding that you don’t have to pay back if you lose the case. If you’re pressed for cash following an auto accident, pre-settlement funding is what you need. The loan will help you get a healthy standard of living as you recover and wait for the settlement loan. Pre-settlement funding will alleviate your financial burden.
Without settlement loans, the injured party can be responsible for all expenses. In some cases, the auto accident lawsuit can span for years. It can even exceed the damages covered by the defendant’s insurance company.
Your qualification for the cash advance depends on the strength of the case. Lawsuit loan companies get back their money only if you win the case. Due to that, they tend to be choosy about who receives funding. If they find out you were the party at fault in the accident, you may not meet the qualifications for funding which is a concern you can learn more about further below.
Choosing the Best Auto Accident Lawsuit Loan
An auto accident can turn a person’s life into a nightmare. Physical injuries can impact your health negatively and go on indefinitely. The health problems that arise can prevent you from going back to work for some time. Or, ultimately, remove you from the workforce.
This also comes with a significant financial burden. It can make it difficult to pay for your medical bills or cover the expenses for your dependents.
Banks, creditors, and employers will not understand your circumstances. That’s why you need a settlement loan company to give you a cash advance. Below are tips to help you choose the best auto accident lawsuit loan.
- Look For a Reputable Lawsuit Loan Company
Nowadays, lawsuit loans are advertised by a growing number of pre-settlement providers. However, some of these companies may not be reliable. Thus, you must avoid the need to rush into choosing the first legal funding provider you come across.
Consider the following when shopping around for the best legal funding company:
- Interest rates
A good lawsuit loan provider will give you concrete quotes with easy-to-understand rates. Averagely, they provide lower rates compared to their competitors.
If a lawsuit loan provider isn’t willing to discuss their rates and fees up front, you’re better off finding another option. The following are some of the best pre-settlement funding companies that offer low-rate lawsuits loans.
- THRIVEST LINK
- BRIDGEWAY LEGAL FUNDING
- Talk to Your Attorney About Your Pre-settlement Funding Options
Your attorney needs to know about your pre-settlement funding plans. Because it’s likely the attorney has experience working with pre-settlement loan providers, and will know what to look out for when it comes to red flags (which you can learn more about here, should you wish) with these loan providers. They may have previously worked with reputable lawsuit funding.
So they’re qualified to help you determine the right amount required to help you afford your cost of living. Discussing pre-settlement funding with your lawyer will also make the approval process smooth.
Some lawsuit cash advance providers require documents about your case from the lawyer. This is meant to ensure the validity of your auto accident lawsuit loan request.
Once the documents have been provided, your lawsuit loan provider decides to approve or deny your application. You can receive your pre-settlement much faster if your attorney knows your wishes.
- Look Out for Additional Fees
Make sure you read the fine prints of the agreement with legal funding companies. That’s because some of them try to sneak in extra fees. This can add up the amount you’re required to pay interest on.
They may seem like small fees at the beginning. But these fees can add up the overall payback costs significantly. The additional fees can come in the name of processing and application fees. It can also come as underwriting fees, original fees, or review fees.
You can ask your attorney to help you ensure that the percentage or amount of those fees is minimal. You wouldn’t want to be paying a lot of money only to get a modest loan to tide you over until your case is complete.
- Calculate the Overall Lawsuit Loan Cost
Many factors go into assessing the payback cost for legal funding loans. No matter the company you work with, you must have an easy way of assessing the approximate numbers of your case.
Consider your lender’s interest rates when calculating the cost of your lawsuit loan. It’s not easy figuring out how long your case will last. However, you can play your part in ensuring you get the most of your settlement loan.
- Find Out if You Qualify for a Lawsuit Funding
Lawsuit loan companies look at the possibility of you winning your case. They then decide whether to lend you in advance based on their findings. Considering that most of them have no win/no pay policy, they don’t want to risk lending you if you’re likely to lose the case.
The best thing is that providers are quick to gather information about your case. Remember that it’s in their best interest not to lose a client. As such, most of them guarantee same-day funding.
Others ensure that you get the money within the next 24 to 48 hours. This is why you must find a good lawyer to help you navigate the complexities of the case.
The legal funding industry is growing. And, lawsuit loan providers are offering ways for you to get the cash advance upfront. This way, you can pursue your case until an award is made without worrying about missing bills.
If you’re handling an auto accident lawsuit, paying for medical bills can get difficult. It becomes tougher paying for bills if you have to miss work due to sustained injuries. So go ahead and apply for that pre-settlement funding. Follow the tips provided here to help you get the best auto accident lawsuit loan.