If you’ve experienced an unforeseen accident and you’ve been left injured in the hospital, you’re not alone. According to the National Center for Health Statistics, In 2021, 62 million people, or 1 in 5 persons, received medical treatment for an injury, an alarming situation that should not be ignored.
So what happens in the face of rising medical bills and living expenses looming overhead of a personal injury? Many injured victims feel as if it is impossible to cover the most basic bills, such as rent and groceries, let alone medical treatment costs. In this case, taking out pre-settlement funding could be an excellent source of immediate relief that quickly eases any of your short-term financial concerns.
Pre-settlement legal funding (also called a lawsuit loan) is built around reaching decisions on an application within 24 hours all based on the facts of the case, and being able to disburse that money quicker than traditional bank loans.
Here, we will guide you on when you start to collect (or receive) your pre-settlement funds, why lawsuit lenders deliver this type of funding quicker than traditional lending institutions, and the consequences of not having access to cash during your lawsuit.
When Do I Actually Start To Receive My Pre-Settlement Funding Money?
Within 24 – 48 hours of submitting the necessary case documentation, approved pre-settlement loan applicants can expect to collect the cash advance. Essentially, the funding decision will generally take 1 business day, while disbursal of cash may take 2 to 24 hours, with funds ranging from $1,500 to $2 million in some cases.
More often than not, obtaining the funds this rapidly can make a huge difference for someone who is financially strapped and trying just to make it until the end of his or her lawsuit. Thus, the sooner you get approved for cash, the better. But there is a catch, only the best pre-settlement funding companies can deliver cash this fast.
On average, with Baker Street Funding, you’ll collect your funds within 24 hours of your approval. You also have the option to get your money as early as the same day you get approved, considering that the funding agreement is complete before 3 pm that day.
How Does Pre-Settlement Legal Funding Process Work?
Pre-settlement legal funding (or lawsuit loans) is a form of non-recourse funding, which means that the lender’s only means of being repaid is through your compensation. Accordingly, the loan is tied to the strength of your lawsuit and not to your own personal assets or income.
To put it in perspective, the legal funding process does not involve the lender performing the time-consuming work of assessing your credit history, demanding and then reviewing and analyzing all sorts of documents that reflect your assets, income, and other debts. All the funding provider needs are some basic information about your case and an in-depth conversation with your attorney about the specifics of your case. Once your legal funding application has been reviewed and, assuming it meets the lender’s criteria, the application can be approved right away, with cash in your hands often the same day of approval.
The Consequences of Not Having Access to Funds During a Lawsuit
If you do not have any means of paying the living expenses that you will incur while your lawsuit slowly winds its way through the court system, you may have to accept the first settlement offer that comes your way. As a result, the motorist that hit you or the person responsible for your injury, or more likely his or her insurer, will offer to pay less to settle. The reason for this is simply because you need to stay afloat, although it was the at-fault party’s actions that led you to suffer those injuries in the first place.
That said, the insurance company’s first settlement offer is never going to be its best one. When dealing with insurance companies, it’s important to be aware that their initial offer may not extend as far as you’d like, and since you are having financial troubles, that offer will often be pennies on the dollar. This, as a result, can leave you with just a fraction of what your lawsuit is actually worth.
On the other hand, if you have the money you need to stay afloat, you can let your case play out instead of getting lowballed by the other side. Being able to hold out a little longer in order to receive a settlement offer that reflects the real value of your case only benefits you, and not the other motorist’s insurer. Ultimately, pre-settlement legal funding can help you hold out for that better offer instead of having to take the first settlement the insurer throws your way.
The takeaway
Pre-settlement legal funding can enable you to meet the expenses of daily living without having to incur debt you cannot afford or have been rejected, typically within 24 to 48 hours. In addition, it often helps plaintiffs not get lowballed by the insurance.
Moreover, pre-settlement funding from Baker Street Funding makes it possible for you to access money within 24 hours of submitting your application, right when you need it. With pre-settlement legal funding, you won’t find yourself worrying about financial woes while your lawsuit is winding its way through the legal system. Depending on your case, we can provide amounts from $1,500 up to $2 million to cover a wide range of everyday expenses like food, rent/mortgage payments, medical bills, utility bills, and more. Even if you only qualify for as little as $1,500, that’s enough to get some immediate relief on your financial situation so you can focus on your recovery and your case.
If making quick pre-settlement legal funding decisions is something that’s of interest, look into getting a non-recourse lawsuit loan with Baker Street Funding. There are absolutely no hidden fees and no risks. Plus, we offer interest rates lower than our competitors, typically between 2.95% per month to 3.4% non-compounding.
It’s easy to apply for a quick pre-settlement cash advance.
