Lawsuit Loans for People in Need
When cash is advanced to a plaintiff in a personal injury lawsuit, it is often referred to as a “lawsuit loan,” but it is not really a “loan.” Lawsuit loans are, in fact, non-recourse advances. “Non-recourse” means that lawsuit loans are only repaid should the recipient of the loan secure a settlement from his or her pending legal claim. Should the recipient of the lawsuit loan fail to reach a settlement, he or she keeps the money from the lawsuit loan and the company that made the lawsuit loan writes it off as a loss.
Lawsuit loans fill a critical need. They provide needed cash to plaintiffs who are waiting for their claims to settle. This might take just a few months, but it could take several months, or even a year or – in some cases – a few years. When an attorney has taken a case on a “contingency” basis (he will be paid “contingent” on the outcome of the lawsuit), the client does not have to pay anything on the front end – none of the attorney’s expenses and no legal fees. However, that same client – who often cannot work because of the injuries he or she has sustained – needs cash to cover living expenses and to pay for medicine, medical treatment or rehabilitative services. Lawsuit loans bridge the gap between the injured party’s need for cash and the time it takes a case to work its way through the litigation process to a successful conclusion.
Lawsuit loans are unlike traditional loans in other ways. Unlike conventional loans, there are no monthly payments. Lawsuit loans are repaid in a single payment by the recipient’s attorney from the proceeds of the settlement. Should the attorney go to trial and lose (and fail to reach a settlement), the recipient keeps the money and owes the lawsuit loan company nothing!
Lawsuit loans are different in other ways a well. Lawsuit loan companies do not run credit checks and do not verify employment because lawsuit loans are not granted based on the applicant’s ability to repay them from his or her regular income, but rather on the strength of the legal claim against which the lawsuit loan is funded.
Lawsuit loans come with no application fees, out-of-pocket expenses or any other up-front costs, so they are risk-free to the applicant. To apply for a lawsuit loan, call us toll-free at 888-359-3002 or use the form on this page to apply online.