Examples of our low interest rates for lawsuit loan amounts
The following examples depict the monthly and total interest rates during the life of a $5,000 lawsuit advance. Your actual interest rate may be different than the rates in these examples and will be based on the term of your settlement, the risks of your case, and other factors. If you don’t win your lawsuit in the three-year mark, your interest rate will stop. See our pre-settlement funding eligibility criteria to learn more about how you can get a loan on your lawsuit.
Fixed rate pre-settlement loans - noncompounding
|Settlement Date||Plaintiff Rates||Total Payment|
|3 months||2.95% - 3.4%||$442.50 - $510|
|6 months||2.95% - 3.4%||$885 - $1,020|
|1 year||2.95% - 3.4%||$1,770 - $2,040|
|1 year 6 months||2.95% - 3.4%||$2,655 - $3,060|
|2 years||2.95% - 3.4%||$3,540 - $4,080|
|2 years 6 months||2.95% - 3.4%||$4,425 - $5,100|
The interest rate of a lawsuit loan is the percentage of the loan principal that a lawsuit lender like Baker Street Funding charges for borrowing plaintiffs to access the loan funds upon approval. On average, our settlement loan interest rates range from 28% to 41% per year, but this varies depending on the case.
What impacts a low interest rate on a pre-settlement loan?
Your specific lawsuit loan cost depends on how much risk the claim possesses to the company. Plaintiffs with solid lawsuits and reasonable defendant insurance limits qualify for lower rates than those with new cases or issues in the claims. Funding companies calculate rates based on a number of variables. Here are some of the factors that can impact a low-interest rate:
Interest rates from the average funding company
We recently performed a study of the number of pre-settlement advances we buy from new clients looking for a better legal financing company. This study shows that the average interest rate on a lawsuit loan was more than 58% a year. This means that most lawsuit lenders that claim to provide ‘low costs’ are charging plaintiffs a lot more than they should. That said, their interest ranged from as low as 3.5% monthly (compounding) for the most qualified applicants and up to 5% compounding a month for those with more complex claims—without caps. In comparison, the average amount of a pre-settlement funding buyout was more than 58% a year as of August 15, 2021.
Lock in the lowest rate with Baker Street Legal Funding
You can get a loan on your lawsuit by giving us a call at (888) 711-3599 or by applying online now.
Ready to apply for lawsuit funding?
Baker Street Funding is mainly known for providing the lowest cost pre-settlement loans nationwide. Find out if you qualify for a same day pre-settlement loan with the best rates available. Our lawsuit finance team is here when you need us.
Calculate your loan with our lawsuit loan calculator
Check out our lawsuit loan calculator and learn the approximate cost of your loan for your case.