Personal Injury Lawsuit Advances
Personal injury plaintiffs which face incredible challenges. Not only are they injured and need medical care, they also must pursue compensation for their condition(s) through the insurance claim process and/or legal system. Lawsuit advances help.
Many cases with severe injuries ultimately wind up in court. Because the injuries are severe, insurance companies want to litigate the matter before ultimately paying out a substantial sum.
Also, because the injuries are severe, many plaintiffs lose time from work or are unable to work at all! Being hurt is bad enough, but if you’re unable to work, life becomes that much more difficult. As bills and other obligations add up, missed payments and financial stress is right around the corner.
Unfortunately, this situation causes some plaintiffs to accept “low ball” settlement offers just to ease the pain. If only they were able to endure the process, they would allow their lawyers to get the proper compensation.
Until recently, the above scenario was a common occurrence. Now, there is a solution, and that solution is obtaining lawsuit advances.
Lawsuit Advances – Design
Lawsuit advances offer plaintiffs immediate cash now – prior to settlement. The idea is to give them the staying power to wait out the long, drawn-out legal process. When the case resolves, the lawsuit advance is repaid according to the contract terms.
Traditionally, plaintiffs and lawyers sometimes don’t have enough capital to thoroughly litigate the matter against deep pocketed defendants (insurers). Without this financial staying power, the settlement amount could be lower than otherwise possible. Insurers know they have an advantage financially and are very willing to use it against you. Many plaintiffs and lawyers fear the prospect of long and costly litigation. Lawsuit loans ease these concerns because they level the financial playing field against these powerful companies.
The Structure of Lawsuit Advances
Although sometimes referred to as lawsuit or settlement loans, lawsuit advances are not loans in the traditional sense of the word. Whereas loans imply repayment over time or at some point in the future, lawsuit advances are an advance on the future proceeds of the case. That is, the plaintiff “sells” a portion of the settlement ahead of time in return for immediate cash now.
The transaction’s purchase price is the amount of the contract. The repayment depends upon two factors. One – if the case is successful and two, the amount of time between the advance and the ultimate recovery.
If the case is not successful for whatever reason, the lawsuit advance is not repaid. Nor is the lawsuit funding company able to pursue the plaintiff for the money.
After you receive the settlement advance, the money is used at your discretion and there are no restrictions on how you can spend it.
Lawsuit Advance Process
Obtaining a lawsuit advance is easy and straightforward.
- You fill out the online application or call us at 1-888-964-2224.
- Someone from Fair Rate Funding will contact you to discuss your case.
- After our discussion, we call your lawyer and request some information on your case.
- Once approved, we send a contract to you and your lawyer.
- You sign the agreement. Your attorney also agrees to repay the lawsuit advance when the case is resolved in your favor.
- We send you the money by FedEx™ overnight or wire money directly into your bank account.
It’s really that simple and can take as little as 12 hours or less. Read more about same day lawsuit loans.
Lawsuit Advances FAQ’s
What types of cases are good for lawsuit advances?
Personal injury lawsuit funding makes up the majority of lawsuit advances for Fair Rate Funding. Injuries sustained in car accidents are the bread and butter of the industry but lawsuit advances on slip and fall accidents, premises liability and workers compensation are also common. If you were injured, through no fault of your own, call us free to find out if you qualify for a lawsuit advance.
Are Workers’ Compensation cases eligible?
Yes, workers’ compensation cases are eligible for lawsuit advances. Workers’ compensation cases in many states do not qualify. To find out if your state allows workers’ comp lawsuit advances, call us toll free at 888-964-2224.
What rate do you charge for a lawsuit advance?
Lawsuit loan rates can vary from case to case and state to state. Generally, we charge 18% every six months simple interest for preferred cases. Or call us to find out what we can do for you.
What is the maximum amount of lawsuit advance can I take?
There is no maximum amount of lawsuit loan. The amount you may qualify for depends on the strength of your case and the defendant’s ability to pay. A good rule of thumb is that lawsuit advances are 10% of the estimated settlement value of the case. This amount is determined subjectively by our underwriters and doesn’t necessarily mean you case is “worth” 10 times what your advance is. It is simply a rule of thumb lawsuit loan underwriters use to estimate the risk associated with these specialty investments.
Does my attorney have to sign off on the agreement?
Although you do NOT need approval from your attorney to take a lawsuit advance, they do need to participate in the process in a limited way. At the very least, your attorney must acknowledge an advance was made. Your lawyers must also agree to repay the advance if the case is successful. Without attorney cooperation, the lawsuit funding process cannot happen.
How do I begin the process?
To begin the process, simply click the apply now button at the bottom of the page. Or you can call us toll-free at 888-964-2224. You will reach a live operator (not a phone menu system), and we will help you through the process. We are at your service, 24 hours a day, 7 days a week.
Have Other Questions?
Most common questions are answered on the site. We have been writing on the subject for over 15 years. You can visit our FAQ page for the most common lawsuit advance questions but a great deal of information can be found on our blog.
The easiest way to learn about lawsuit funding is simply to ask. Call us toll-free to find out everything you need to know about lawsuit advances and how they can help you in your time of need. The call is FREE! 888-964-2224