Pre-settlement funding is a type of funding which is available to those who have filed a settlement claim through a lawyer. Personal injury loans are probably the most common form of pre-settlement funding and can be especially important if you have lost your complete or partial working and earning capacity and your life has been marred by medical attention, attending to questions and calls made by the claims adjuster or frequent court visits.
Settlement loans could be of many types and car accident settlement loans is one of the most popular. Inheritance claim settlement funding, illegal termination of contract loan, etc are some of the others and each serve the single most important purpose of providing liquidity to the plaintiff or the victim at a time when not only his earnings have been affected but also a number of additional costs have been thrust upon him.
How did Settlement Lenders revolutionize the lending business in Canada?
It was not until 1980s that lawsuit funding become available in Canada and Settlement Lenders was the first company to conceptualize and issue settlement funding to hundreds of needy Canadians, who were fighting for their right to justice. Settlement Lenders has disbursed over $100,000,000 in loans and provides flexibility in choosing the type of funding you need.
You could either take a lump sum amount and your case will be monitored and assessed every six months and further funding needs be also be met. You could choose to take recurring monthly payments to take care of your utility bills and court expenses and your case will be reviewed semi-annually. The final type is a line of credit which is akin to a bank account and you can withdraw and use funds up to a predetermined limit. However, you will be charged interest only for the funds you use.
Advantages of settlement funding
- Lawsuit loans help you to avoid forced settlement: Pre-settlement cash advance allows you to be patient and gives your lawyer more time to examine more witnesses and build up a solid case to make your case watertight. Empirical evidence shows that the more time a plaintiff gives to the case, the better are the chances of a fair settlement.
- Lawsuit loans can be used unconditionally: You can use pre-settlement loans to service some or all of your monthly or yearly expenses. You may channel it to meet foreclosures, settling other loans, paying for utility bills, tuition fees and mortgages. At no point will you be answerable to the lender.
- No credit checks or income verifications :Settlement lenders will not verify your ability to earn or your credit history.
- Pay only if you win: You won’t be needed to pay any money until the claim is settled, and if the claim is denied in a court of competent jurisdiction, the amount borrowed is forgiven.
Settlement funding is one of the best financial vehicles available to a plaintiff and it can give you a lot of support, confidence and peace of mind.