How To Seek Pre-Settlement Cash for Your Legal Needs

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. 

You want justice for your accident, and that includes a generous settlement that fully covers your damages. However, your bank account isn’t bottomless. Instead of offering a fair settlement, the defendant is biding their time, waiting for you to run out of cash so you’ll accept that lowball offer.

If this situation sounds like yours, you could benefit from pre-settlement cash funding. Below, learn everything you need to know about pre-settlement funding for plaintiffs.

Pre-Settlement Funding: Your Options

Applying for a loan at the bank or borrowing money from your well-to-do friend isn’t the only way to secure funding for your personal injury case. You have other options, such as pre-settlement cash advances and lawsuit loans.

First, let’s talk about settlement loans. They’re similar to traditional loans, with the main difference being that you’re borrowing against your anticipated settlement. Just like regular loans, they come with interest rates, and you’ll have to make regular payments to the funding company.

A lawsuit advance, on the other hand, is a cash advance on your settlement rather than a loan. There’s no credit check or interest, and you only have to pay back the funds after your case settles. If you don’t win your case, you pay nothing.

In this guide, we’ll be discussing how the funding process works for a lawsuit cash advance.

How Does the Lawsuit Funding Process Work?

Applying for pre-settlement cash funding for your legal fees and expenses is easy, but you will need to meet a few basic requirements. Here’s what to expect during the financial assistance process.

Hire an Attorney and File a Personal Injury Claim: Before you even think about applying for funding, you’ll need to hire a personal injury lawyer. Funding companies won’t lend to you without one. Your lawyer is an integral part of the process, and the lender will stay in touch with them throughout your case. Lending companies also want you to have a lawyer because you’re more likely to win your case with one. You’re also more likely to achieve a higher settlement than you would representing yourself.

Have a Valid Case Type: To qualify for funding, you must also have a valid case type. What constitutes “valid” varies by lender and can include auto accidents, slip-and-fall accidents, dog bites, medical malpractice, pedestrian accidents, catastrophic injuries, and wrongful deaths.

Choose a Legal Funding Company: If you’ve hired a lawyer and filed your claim, you’re ready to pick a funding company. Look for a lender with a rock-solid reputation and plenty of good client reviews. You can (and should) call prospective lenders with any questions you have about the funding process. Rockpoint Legal Funding offers 100% free, no-obligation consultations.

Struggling to pick the right lender? If you can confidently answer “yes” to these questions, chances are that the lender is a good match:

• Can the lender offer you the amount of money you want to borrow?
• Is the lender willing to answer your questions?
• Do the repayment terms seem fair?

Meet the Eligibility Criteria: Lending companies have different eligibility criteria, but as long as you have an attorney, a pending lawsuit, and a valid case type, you’re likely good to go. You’ll also need to live in a state the funding company serves. Pre-settlement cash funding isn’t available everywhere because some states have stricter funding laws than others.

Apply for Funding: Next, you’ll need to submit an application for funding, which you can do in just minutes online or over the phone. The application will ask questions about your case and your damages. The lender uses this information to determine how much funding to provide. In your application, be sure to provide:

• How much compensation you expect if you win your case
• A list of expenses associated with your injury, such as hospital treatment and surgeries
• Any property damage associated with the accident
• The extent of your injuries

Wait for a Decision: The lender’s underwriters will review your application and determine your funding amount. Note that your credit score, job, income, or family situation don’t impact the underwriters’ decision. You can qualify even if you’re out of work or your credit score isn’t the greatest.

Review the Funding Agreement With Your Lawyer: If you’re approved, the lender will send a proposed funding agreement to your lawyer for review. Both of you should review the agreement carefully and ensure you agree with the terms.

Access Your Funds: Upon signing the funding agreement, the lender will deposit the agreed-upon amount into your account. You can then access the money and use it for anything you need, including:

• Legal fees
• Out-of-pocket medical expenses
• Mortgage payments or rent
• Utility bills
• Credit card payments
• Groceries
• Car rental fees or car repair costs

Repay Your Funding: It’s finally over — your case has settled! To repay your funding, your lawyer will take the amount you owe the lender out of your settlement check, then subtract their legal fees, and you’ll keep the rest. But what if your case doesn’t settle? One of the biggest perks of pre-settlement funding is that you don’t owe the lender a thing if your case loses.

We Make the Pre-Settlement Cash Funding Process Easy

Want to know more about how legal funding works or start your application for pre-settlement cash funding? Reach out to Rockpoint Legal Funding today. With us, the process of applying for funding couldn’t be simpler. There’s no credit check, no monthly fees, and no risk to you.

Call Rockpoint Legal Funding 24/7 at (855) 582-9200 for a free consultation.