December 11, 2019 Last updated December 17th, 2021 756 Reads share

Personal Injury Settlement Loans – Why You Should Consider Applying?

Why You Should Consider Applying Personal Injury Settlement LoansImage Credit: DepositPhotos

Whether you slipped and fell at a business property or were involved in a car accident, personal injury lawsuits can be expensive and time-consuming. When you are injured and can’t go to work, bills start piling up. As if the accident itself wasn’t distressing enough, your lawsuit would leave you even more helpless.

Your lawyer may assure you that you can win the personal injury lawsuit or get a good settlement, but it would take a long time. What would you do in such a situation?

One solution is to apply for a personal injury settlement loan. Personal injury settlement loans or lawsuit loans are a type of cash advance. While your lawsuit is pending, a funding company will give you an advance on the future settlement. Some say that personal injury settlement loans are a terrible idea. However, this isn’t true. These loans can give you a cushion during lean times and come with no risks. Below, I’ve shared some reasons as to why you should consider applying for a personal injury settlement loan.

· Risk-Free

Personal injury settlement loans don’t require any payment until the injury case settles. If you are working with a professional funding company, they won’t ask for monthly payments or an up-front fee.

Moreover, some companies only ask you to pay back the borrowed money if you win the lawsuit. Otherwise, you will owe them nothing in return. This shows that personal injury settlements loans come with no risk to you. If you win the settlement, you return the money. On the other hand, if you lose it, you will have to pay nothing back.

· Pay Your Bills

If you get injured in an accident, you might not be able to work. If you are the sole breadwinner, your injury may cause you and your family to struggle while keeping the wolf from the door. You would desperately be waiting for the case to settle. As such, you might take drastic measures, like accept a lowball settlement offer from the opposing party. This is a big mistake as you could potentially lose thousands of dollars by accepting a lowball offer.

To avoid these kinds of mistakes, you should consider getting an advance against your personal injury lawsuit in the form of a lawsuit loan. A lawsuit loan can provide breathing space if you aren’t able to cover mortgage payments, medical bills, and living expenses during your lawsuit. Thus, you won’t have to accept any lowball settlement offer from the opposing party and can fight the case to get the settlement you rightfully deserve. When your case settles, you can just return the money along with interest to the funding firm.

· No Credit Checks

Settlement loan firms don’t consider your credit score when weighing your application and as such, don’t run a credit check. They only focus on your case and the likelihood of you winning the trial. You may be able to qualify for a lawsuit loan, even with a poor credit score. Moreover, since the funding company isn’t checking your credit score, you can apply with various companies without worrying about the application affecting your credit score.

· Get the Funds Quickly

You can generally get your hands on the loan money very quickly. Some companies can approve and transfer the cash into your account within a day. This allows you to quickly cover important payments like medical bills and utility payments.

· More Time to Negotiate

As we said earlier, when you are pressed for cash and are struggling to get by due to the lack of income from work, you might be more inclined to accept the first offer that the attorney of the defendant makes. You could lose a lot of money be accepting this offer. A pre-settlement loan would give you some breathing room, and you will have more time to negotiate with the defense attorney and get a better offer. A lawsuit loan may even give you the financial coverage to take the case to trial if you aren’t getting a good offer.

Aren’t these some compelling reasons to take a personal injury settlement loan? If you are sure about getting funding from a lawsuit loan firm, there are two crucial things you should know to get the process started. First, discuss the option of taking a loan on your personal injury lawsuit with your lawyer. Some law firms don’t work with funding firms due to certain reasons. Knowing whether your lawyer is willing to work with the funding firm will save you some time. If the lawyer is willing to work with the funding company, you can take their assistance in getting the loan approved.

Second, estimate the amount you are going to need. While the funding amount can be high, depending on the value of your lawsuit, you should only apply for the amount that you need. This way, you won’t have to pay interest on the money that you don’t need.

Conclusion

In a nutshell, if you are ever involved in an accident or suffer an injury from slipping and falling and need money to get by while you are waiting to receive settlement funds, apply for a personal injury settlement loan. These loans can provide you with the funds needed to get through hard times and ensure that you don’t accept a lowball settlement offer. Moreover, they come with no risks which makes them a compelling option for those waiting for their case to settle.

Personal Injury – DepositPhotos

Samantha Jones

Samantha Jones

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