How to opt-in for pre-settlement funding?

Have you filed a personal injury case? If yes, then there are chances that sometimes you might find the court proceedings to become very slow. There can be unwarranted delays and which can pose a hindrance on your financial state. And if you have to manage your financial stress, chances are you will be finding a pre-settlement funding agency. Today, there are plenty of these agencies present online, for you to join hands with.

Every pre settlement funding agency comes with its financial options as well as terms. You join hands with the one under the guidance of your attorney that caters to your requirements. However, selecting the company is challenging. You need to exercise your discretion and also update yourself on essential processes. Here’s how you can reach out to a pre-settlement funding company that is best for you.

Understand lawsuit load and the way it works

Start by knowing what exactly is a lawsuit loan! Simply put, it is a loan that is usually kept for the plaintiffs with a pending lawsuit. The plaintiffs are generally awaiting a verdict or a settlement. It could be that a plaintiff is involved in a personal injury case such as product liability or auto accident. Based on a formal contract between a plaintiff and a pre-settlement funding service provider, the former needs to repay the loan amount when the settlement takes place successfully.

Evaluate all your financial options

Now that you are aware of the function of a lawsuit loan, you need to identify and evaluate all the financial choices you have. According to Fox Business, a settlement loan can be best defined as a “once-in-a-lifetime” solution. It’s a lifeline for the plaintiffs who have a huge debt to cover and don’t have any other financial back-up to count on. The interest rates are increasing. And with that, this solution can’t be a fix for the long-run. It is an immediate solution that helps to cover a funding gap, as the plaintiff awaits a verdict or settlement. However, it is essential to evaluate if you at all require a settlement loan. You can check your financial choices and see if that helps.

Is your credit score favorable?

To start with, conduct a credit report and analyze the credit score. A favorable credit score is anything between 690 and 710. Additionally, you might also want to run an inventory check of all the assets and get talking with an ace financial counselor or advisor, to check whether you can opt-in for a conventional loan.

Is it possible to draw from your home equity loan?

Drawing from your home equity loan or the retirement plan might be very risky! It is more so when you are approaching retirement. Also, if you are deciding to pay off the house, still the arrangement might be very tough. However, asking for advice from the financial advisor is always a smart act. It will help you decide accordingly.

What to do after you have assessed your financial choices?

It seems you have thought about all the financial choices you have! And you’ve also discovered that your credit score is much below 690. You have very minimal to almost zero assets that you are in a position to liquidate. And even the conventional loans are also not granted to you. Even your family members and friends have nothing to offer you as financial support. It is the time when you can consider a settlement loan.

Sometimes, a lawsuit loan might have some gray areas that beg explanation, but they also come with their set of advantages. As per Fox Business, almost 60% and more borrowers make use of the cash advance to avert any foreclosure. Also, the latest pre-settlement funding agencies don’t need to check your employment status or analyze credit reports. The only thing that they are concerned about is whether your legal case has a good chance to win.

Talk to your attorney

Your attorney plays a vital role in this! So, schedule a meeting and know whether your attorney would suggest you to get a settlement loan. Since your attorney has foreknowledge about your legal case, they can provide you with all the best legal advice which can be helpful to you. A lot depends on whether you are winning or losing the case. However, when your attorney doesn’t give the proper approval for a lawsuit loan, there will be valid reasons backing up the decision.

On the other hand, just in case your lawyer suggests you go ahead with the loan, you can ask for suggestions concerning the companies and service that he/she recommends. It will help you to draw up list of companies that provide pre-settlement funding.

Start your research

Here you need to get started with extensive online research! Try and find out companies that provide the best interest rates in lawsuit loans. Also, try and read more about their terms of service and the process of getting the loan. Usually, there is a mandatory documentation process that occurs, after which the loan amount reaches your bank account within 48 hours. Sometimes, it’s even earlier than that. The main task is to provide all the correct documents that will enable the funding company to accelerate the process of loan sanction. Know every pertinent detail so that you don’t have any issues with a loan application.

Last but not least, it is essential to learn and know more about the pre-settlement funding company. Here it is necessary to read more about the online reviews, client testimonials as well as feedback posted on the company website. If there are any questions, you can ask the company directly through an email or a phone call. The prompt response and the quality of customer service will help you decide better on the service capacity of the company. 

Today, many pre-settlement funding companies also provide one-on-one consultation. If you want you can opt-in for that as well. It will help you to address your requirements and assess the company services better. Also, ensure that your attorney is present during this consultation. That way you can solve the legal concerns of the case as well.