Facing a lawsuit is an unnecessary expense. It forcefully eats your time, energy and resources. But during such times, there is no better way to navigate through this than taking lawsuit loans. If you are dealing with insufficient income coupled with mounting bills, many plaintiffs would want to borrow money towards the proceeds expected from the lawsuit, which is otherwise called by many names like:
- Lawsuit loans
- Lawsuit cash advances
- Settlement funding or;
- Lawsuit funding
Taking a lawsuit loan is not always the best decisions you can ever make. However, if all else fails, this can be your salvation – considering that you’ve done thorough research and looked at every angles of the situation.
What Exactly is Lawsuit Loans?
Filing suit could be costly and also, time-consuming. In the event that your injury has caused you to lose your income or to incur unexpected expenses similar to medical bills, then this can automatically affect your finances.
If you’re in such a predicament, then you may consider a lawsuit cash advance or lawsuit loan to be able to ease out the financial stress while you’re waiting for the settlement of the lawsuit.
By taking out such loan, the lawsuit funding company will buy your right either to all or portion of the lawsuit settlement or award in exchange for the advanced that you receive while you have a pending case.
Believe it or not, there are a number of businesses that are filing for this type of loan. The reason why they are doing that, it is because of failing to provide accurate financial statements, which can be easily avoided in the first place if they are using accounting software.
What’s in it for You?
As a matter of fact, there are two main benefits of using lawsuit loans and these are:
- It changes the tide – with this loan, it can offer you the space needed if you can’t cover your expenses such as auto loan, mortgage, medical bills and the likes throughout the lawsuit.
- Time for settlement – say that you depend on the award or settlement to provide payment or income for needs such as medical bills, then taking lawsuit loan may give you enough time to work out on settlement offers. Being the plaintiff, your primary goal is not to prolong the litigation but to acquire a fair result. So if the defendant isn’t open for settlement, then the lawsuit loan may just provide you with financial wherewithal to go on trial.