Disclaimer: Consumer legal fundings and advances are not loans under applicable financing laws. Rockpoint’s products are non-recourse, meaning if you don’t win your case, you don’t have to pay us back. Receiving financial support in connection with a legal case is typically (and oftentimes incorrectly) referred to as a “lawsuit loan” or “loan.” Therefore, for the ease of search references, these terms may be used in this content to refer to our funding products, but we maintain our separateness from consumer loan products in all legal aspects.
Your law firm helps clients pursue their personal injury cases to the fullest extent. Yet, covering costs may be difficult since you may not get any money until a client’s case is settled. Fortunately, litigation funding law firm services are available, and they may provide you with access to money before a case is resolved.
At Rockpoint Legal Funding, we are committed to our clients. We can discuss our law firm litigation funding options with you and help you determine if now is the right time to pursue them. For more information, reach out to us.
Law Firm Litigation Funding Definition
With litigation funding, an individual may get money based on their personal injury case’s projected settlement. For example, a person may be involved in a slip and fall accident lawsuit. They can request a slip-and-fall accident lawsuit loan to help them cover their expenses throughout their litigation.
Law firm litigation funding is available to personal injury legal practices. It allows your firm to accept a personal injury case and help your client get compensation. Meanwhile, the funding gives you money you can use during the case.
This funding for law firms is flexible, and you are not required to make any monthly payments. A legal loan company can explain its terms and conditions to you and make sure you know exactly what you are getting before you receive your funding. Plus, if your client does not win or settle their case, you are not responsible for paying back your loan.
Litigation Funding Benefits
If your law firm needs money right away, you may ask what is a personal loan and consider whether it is in your best interests to request one. This type of loan gives you access to money. Beyond that, it may prove to be more trouble than it is actually worth, particularly when it is compared to litigation funding.
A bank or credit union may need days or weeks before it approves your personal loan request. It may also require a credit check and other financial information before it agrees to provide you with money. Along with these things, you may have to make payments on your loan with interest until it is paid in full.
A legal funding provider has a seamless application process in place. It may require information about you and your client’s case and be able to approve your request within hours — not days or weeks. In addition, you are only required to pay your loan back if your client receives a settlement.
Legal Funding Application Process
You can apply now for a legal loan. The application process may be completed online or over the phone. You may hear back the same day about whether your lawsuit loan request has been approved.
A legal funding company is transparent with its clients. If you request a legal loan, you will receive a personalized quote that includes your interest rate. Your lawsuit funding provider can answer any questions you have regarding your quote.
Rockpoint Legal Funding is a leading choice for law firms for litigation funding. Our team can guide you through our application process. To learn more, contact us today.
Litigation Funding Costs
You do not get charged anything if you apply for a legal loan. A litigation funding company is upfront about all of its costs. It can provide you with details about your loan’s interest rate before you finalize your request for funding.
A legal funding company may cap its pre- and post-settlement funding fees. The business explains these fees in detail. It makes sure you understand the charges and when they will stop if a case continues for months or years.
If you accept a legal loan, you are not responsible for paying anything back unless your client receives compensation. At this point, you can connect with your loan provider to repay your funding. After your balance is paid, you may be able to get legal funding once again for a future case.
Legal Funding Risks
The risk of getting a personal loan may be significant. For instance, you may ask for a personal loan to help you pay your law firm bills while a client has an open personal injury case. If your client does not receive any damages, you are still responsible for paying your loan balance.
With legal funding, your loan company takes 100% of the risk. The funding you receive is based on your client’s case. There is no guarantee your client will get compensation, and if they do not, you do not have to worry about paying back your loan balance.
A litigation funding company can answer frequently asked questions and any others you have relating to the risks associated with pre-settlement funding. This can help you evaluate the short- and long-term benefits of getting a loan. If you decide you want one, you can apply for funding immediately.
Litigation Funding Repayment Process
When it comes to paying a legal loan, there is nothing you have to do until your client’s case is resolved. Once you receive your law firm funding, you may use it however you choose. You can keep your pre-settlement loan company up to date on your client’s lawsuit and let them know if they receive damages.
In the best-case scenario, your client gets the compensation they want. If you receive a litigation loan, you now have to pay it back. You can deduct what you owe from your client’s settlement to pay your legal funding provider and give this individual the remaining amount.
If your client does not receive any compensation, you are not responsible for your legal loan balance. You can notify your pre-settlement funding company about the case result. Finally, the business clears your loan balance, and you keep all of the money that was already given to you.
Request Law Firm Litigation Funding
Your law firm bills will not go away on their own, but Rockpoint Legal Funding can help you pay them in full. We offer law firm legal loans with an easy-to-understand funding table, no unexpected charges, and more. To get started, contact us today.
