Accidents and injuries are more common than you might think. According to the National Center for Health Statistics, In 2021, 62 million people, or 1 in 5 persons, received medical treatment for an injury. Unfortunately, accident injuries can have serious and long-lasting consequences for victims, both emotionally and financially.
If you’re facing mounting medical bills and living expenses are looming overhead, it might be a good idea to look into pre-settlement funding. It’s an excellent source of immediate financial assistance for plaintiffs that quickly eases the burden.
Understanding the pre-settlement funding process
Pre-settlement funding is a form of non-recourse funding. That means the lender’s repayment is contingent on your compensation. The loan is tied to the strength, value, and complexity of your lawsuit, not your personal assets or income. Your repayment obligation happens only if you win your case.
Unlike traditional loans, the legal funding process is not time-consuming. It doesn’t require a credit history check or extensive documentation of your assets, income, and debts. All the lawsuit funding provider needs is the main details about your case and a detailed discussion with your personal injury attorney about your case specifics. Once your application is reviewed and meets the lender’s criteria, approval is quick, with cash often in your hands the same day.
Timing of cash disbursement
After your attorney submits the necessary case documentation, you can typically expect to receive the cash advance within 24-48 hours. Decisions are usually made within one business day, and the cash can be in your hands within 2 to 24 hours thereafter. Depending on the case, funds can range from $1,500 to $2 million.
This rapid access to money can be a game-changer for those struggling financially while waiting months or years for their lawsuits to conclude. However, only the best pre-settlement funding companies can deliver cash this quickly. With Baker Street Funding, for instance, you can typically receive your funds within 24 hours of approval. If the funding agreement is completed before 3 pm on the day you get approved, you can expect to receive your money the same day.
The consequences of not having access to funds during a lawsuit
Financial strain often arise in personal injury lawsuits as a result of delays in the settlement process. Without a means to cover living expenses while your lawsuit is in progress, you may feel pressured to accept the first settlement offer that comes your way. This often results in the motorist that hit you or the person responsible for your injury’s insurer offering a lower amount.
Additionally, the defendant knows you’re financially vulnerable. Keep in mind it was the at-fault party’s actions that led you to suffer those injuries in the first place. Unfortunately, as a result, accepting a lowball legal settlement payout just to get back on track can leave you with just a fraction of what your personal injury settlement is actually worth.
However, pre-settlement funding can help during settlement negotiations as you can hold out for a fair offer. That means that you can potentially maximize your settlement to truly reflect the value of your case instead of having to take the first settlement the insurer throws your way.
The takeaway
Pre-settlement funding is a quick and easy way to get financial assistance for unexpected injuries. It’s not based on your personal assets or income, but on the merits of your lawsuit. With pre-settlement funding, you can hold out for a fair settlement offer instead of settling for less. Without it, you may have to take a as lowball amount.
Baker Street Funding provides pre-settlement legal funding within 24 hours of application submission. We can help you meet your expenses without incurring unmanageable debt. We offer amounts from $1,500 to $2 million, depending on your case. Cover expenses like food, rent, medical transportation, and utilities. Even if you only qualify for as little as $1,500, that’s enough to get some immediate relief on your financial situation.
With our non-recourse lawsuit loans, there are no hidden fees or risks, and we offer competitive interest rates, typically between 2.95% per month to 3.4% non-compounding.
