Non-Recourse Funding: Risk-Free Financial Support for Plaintiffs

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 context to refer to our funding products, but we maintain our separateness from consumer loan products in all legal aspects. 

Your bank account is starting to look a bit bare, and no thanks to that accident, you’re stuck at home recovering instead of at work earning your paycheck. How will you continue to afford your legal fees? Will you be forced to accept that low settlement offer?

Not with non-recourse funding, you won’t. In this guide, learn how non-recourse funding (sometimes called a lawsuit loan) works and its benefits to plaintiffs like you.

What Is Non-Recourse Funding?

Suppose you went to the bank to take out a loan. You’d likely have to supply some type of collateral in case you couldn’t repay the loan. If you stop making payments, the bank could take your car or worse.

Not so with non-recourse funding. This funding is a cash advance on your settlement amount, not a loan, so it doesn’t require collateral. Additionally, you don’t have to pay the funding back if you don’t win your case.

Benefits of Settlement Advances for Personal Injury Cases

Not sure whether non-recourse funding makes sense for you? Check out these enticing benefits.

No Limitations on Funding Usage: Need money to pay off those perpetually mounting medical bills? Worried that your house will fall into foreclosure if you miss another mortgage payment? Non-recourse funding is perfect for issues like these.

Available to Those With Poor or No Credit: Like a snowball rolling downhill, credit card debt quickly balloons out of control once it starts building up. Where can you turn if banks won’t lend to you because of your dismal credit score? Non-recourse funding companies are the perfect partner for those deep in debt and plaintiffs with zero credit history. No credit check is required to apply for funding, and applying won’t hurt your score, either.

Won’t Impact Your Personal Assets: As mentioned above, applying for a loan often requires putting up something of value as collateral. It’s a big risk because if you can’t repay your loan, whatever assets you put up are the bank’s to keep. Non-recourse funding doesn’t require collateral of any kind, so you truly have nothing to lose.

Have Access to Settlement Funds Sooner: Every plaintiff hopes their case will settle quickly, but realistically, it could be months or even years before you see a settlement. If you’re disabled and struggling with loss of earning capacity or debt collectors are breathing down your neck, you don’t have that long to wait. Non-recourse funding provides a portion of your settlement well before your case is finished. Funding companies like Rockpoint Legal Funding can do this because they believe your case is strong enough to win.

Limits Risk: Some people are afraid to start a lawsuit because they’re not sure they’ll win. No matter how strong their case seems, there’s always a nagging voice in the back of their head saying, “What if you lose? Is it really worth it?” Non-recourse funding takes the risk out of filing a lawsuit. Even if your case loses, you don’t have to pay back what you borrowed. Compare that to the repayment terms of the average loan, and it’s easy to see why non-recourse funding is the better choice.

Provides Time To Pursue a Fair Settlement: You were excited when your lawyer told you that your settlement could be worth six figures — but then the insurance company lowballed you with an offer that barely cracked the five-figure mark. Dejected, you wonder whether you should just accept it and move on. That’s exactly what the insurance company wants you to do. It will fight against paying you a fair settlement at every turn in the hopes that you’ll run out of steam and give up. Two can play that game. With non-recourse funding, you’ll have plenty of time to hold out for the fairest possible settlement.

Think of non-recourse funding as a lifeboat that can keep you afloat in stormy seas. There are no limitations on what you can do with the funds. Situations where non-recourse funding comes in handy include:

• You’ve put a lot of out-of-pocket medical expenses on your credit card, which you promptly maxed out. Now, you can’t afford to make the minimum payments, and the interest is eating you alive.
• You spent the last of your paycheck hiring a lawyer, and now you can’t afford to buy groceries for the week.
• Your accident left you disabled and in a wheelchair. You’d be able to move around your house more easily if you could install wheelchair ramps, but the high cost puts you off.

How To Apply for Risk-Free Financing

Interested in applying for non-recourse funding? Here’s what to do next.

1. Determine How Much Funding You Need: First, determine how much money you need to borrow, and be realistic. The more money you borrow, the lower your settlement will be, which could put you in a difficult position financially later.
2. Hire an Attorney: You must have hired an attorney to qualify for non-recourse funding. That’s because you’re more likely to win your case with one.
3. Submit Your Application: Complete a quick application and await the funding company’s decision. If approved, you’ll usually have access to the funds in 24 to 48 hours.

The application process is as easy as can be. Call us to see for yourself!

Need Fast Funding? Apply Today

Why choose non-recourse funding? If you need cash now and don’t want to deal with the headache of applying for a traditional loan, non-recourse funding is an excellent alternative. To learn more or apply, contact Rockpoint Legal Funding at (855) 582-9200.