A Quick Guide to Understanding Lawsuit loans

Many people are unsure of what lawsuit loans are, or what types of cases can qualify for such a loan. With this type of loan, you are not getting a traditional loan where you accrue interest, need to have your credit checked or your employment verified. With litigation financing, you are applying for money against your future settlement to help you through a hard time when you may not be able to work. If you were injured in a car accident for example, and can’t return to work, or if your spouse who was the main breadwinner suddenly dies and you have a wrongful death lawsuit, you will need some way to meet all your monthly expenses to avoid things like foreclosure and ruining your credit.

What Types of Cases Qualify?

There are several cases that may qualify for lawsuit loans. These can include cases such as auto accidents, dog bites/attacks, wrongful death or arrest, medical malpractice, brain injuries, and Mesothelioma, among many others. These types of cases, although all different, usually have a common factor in that they render the person unable to work, or leave them without their main breadwinner such as their spouse unexpectedly. Litigation funding is meant to help you when you are experience a case such as this and need help with your day to day expenses.

Benefits of Lawsuit Loans

• There are no monthly payments – The lender waits until your case is settled before they get a percentage of your settlement.
• No down payment – Most lenders don’t require a down payment to acquire a lawsuit loan.
• No credit check – You don’t need a credit check to qualify for litigation financing therefore it is easier to attain than a typical loan.
• No employment check – There is also no employment check or verification needed to get this type of loan.
• Assurance – Since lawsuits can drag on for years, lawsuit loans help pay for your expenses in the meantime and can give you peace of mind while enabling you to keep up with your day to day living expenses.

Obtaining a Lawsuit Loan

When deciding you want to apply for this type of loan, remember that your attorney should not be offering to fund this loan for you. By law attorneys are not allowed to offer lawsuit loans due to conflict of interests to protect both of you. You do however need to keep in contact with your attorney when applying for this type of loan because they will need to converse with the settlement funding company to give them needed details about your case. You will also need to be able to provide the documents to prove to the financier the damages that you are claiming in the lawsuit.