Litigation can be very expensive, and sometimes even people with strong cases can't start a lawsuit because they can't afford it. Getting money from a lawsuit can be helpful. Most of the time, the companies that give out these loans don't need credit checks, monthly payments, notes, or any other kind of security. Claimants have often missed work or lost their jobs and can't pay their rent or car payments anymore. In the past, these claimants had to settle for less money because they were having trouble paying their bills. Now, clients can keep going with their lives and give the lawyer the time he or she needs to get the full value of the case.
There are a few companies that help pay for lawsuits. Visit www.fredcoutts.com/indexlawsuit.htm to find out more about these lawsuit loan companies. Each company has its own set of requirements for funding. All companies that fund lawsuits will pay for personal injury lawsuits. But it is harder to find one that will pay for commercial and other lawsuits that don't involve personal injury.
Legal Advances is one of these kinds of businesses. When a client contacts Legal Advances, they will have to go through an application process that includes giving information about themselves and their attorney, as well as the attorney's contact information. The client and the lawyer should have an answer in 48 hours. If Legal Advances agrees to give a lawsuit cash advance, that's the only thing they'll do in the case. They don't offer legal advice or services and have nothing to do with the court case's strategy. They may, however, check in with the lawyer from time to time to see how the case is going.
Another company that handles personal injury and worker's compensation claims is Global Financial. This company offers low-cost lawsuit loans or cash advances against pending lawsuit settlements. Global Financial will look at how strong an applicant's legal claim is and decide if and how much money can be recovered. Then, they offer the claimant a small percentage of the total value of their claim in exchange for an assignment of a portion of the possible future proceeds in the claim. If there is no money from the claim, the company that gave the money gets nothing. Because of this, lawsuit loans are very risky and are more like an investment in venture capital than a loan.
Rates will change based on how risky it is. Most of the time, lawsuit funding companies will finance up to 10% to 15% of the possible settlement value. For example, if the case could be worth $100,000, the client can expect an offer of $10,000 to $15,000. When deciding which cases to pay for, lawsuit funding companies do a lot of research. They have to like both the lawyer and the possible settlement amount. Most states offer lawsuit funding, which can make sure that even a person with very little money can see a good lawsuit through to its rightful end.
