Can Pre-Settlement Funding Help Overcome Financial Challenges in Lawsuits?

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Reasons Why Plaintiffs Take Out Lawsuit Loans

Going through a lawsuit can be tough, particularly for plaintiffs burdened with financial difficulties. The combination of stress, overwhelming legal processes, and the inability to cover basic expenses can make the situation unbearable. This is especially true since, according to the 2020 Federal Reserve Survey of Consumer Finances, the median family had less than $5,300 in their savings and checking combined. And as of 2023, 56% of Americans can’t even cover a $1,000 emergency expense. Imagine what this does to lawsuit victims. In an era where financial instability is rampant, this form of funding can be a valuable resource for people involved in car accidents, medical malpractice cases, slip and fall incidents, wrongful death claims, and wrongful imprisonments.

Here we will cover:

Dealing with the Ongoing Financial Crisis Caused by Injuries from a Car Accident

Car accidents are a leading cause of personal injury claims, and the resulting injuries can have a devastating impact on a person’s physical and mental health. According to the Traffic Safety Facts, there were 5,250,837 police-reported traffic crashes in the US in 2020, with one-third of them resulting in injuries and 38,824 killed.

In such cases, managing medical bills and daily expenses while pursuing a lawsuit becomes an overwhelming challenge. The prolonged nature of legal proceedings only exacerbates the financial burden, especially when the injured victim is unable to work. Car accident settlement funding steps in to provide financial assistance, allowing accident victims to cover bills and household expenses during a long settlement process.

Financial Instability Caused by Medical Negligence Lawsuits

Medical malpractice can turn lives upside down, with over 250,000 people dying each year from such incidents. Seeking justice against medical providers who have caused physical harm requires financial resources. Filing a lawsuit, providing depositions, hiring experts, and possibly going to trial are all costly processes that victims must endure before receiving compensation. However, litigation in medical malpractice cases can take a significant amount of time, leaving plaintiffs struggling to cover living expenses and additional medical procedures. Legal funding for medical malpractice is important because it helps victims manage their finances while pursuing justice for the negligence they have suffered.

Financial Effects Caused by the Injuries of a Slip and Fall

Slip and fall injuries are unpredictable and can occur at any time, leaving victims with physical, emotional, and financial scars. These incidents often result in broken bones or other severe injuries that make it hard for victims to maintain their previous level of employment. Although Slip and fall cases may seem promising, the litigation process can be lengthy and expensive. Plaintiffs often face financial pressures that jeopardize their ability to continue with the case. Pre-settlement legal funding provides a solution, offering financial stability to plaintiffs who find themselves struggling to cover basic needs. This funding also helps victims not feel pressured to accept low settlement offers simply to alleviate their financial burdens.

Financial Troubles Caused by a Wrongful Death

Wrongful death cases not only cause emotional devastation but can also lead to significant financial burdens for families who have lost a loved one. Pursuing a wrongful death claim is often a protracted and costly process, leaving families struggling to pay bills and make a living while awaiting a settlement or verdict. Lawsuit funding for wrongful death claims offers vital support during these challenging times, enabling families to cover emergency expenses while their case unfolds over months or even years.

Managing Financial Losses Following a Wrongful Imprisonment

A wrongful imprisonment is a tragic event that can befall anyone, resulting in severe consequences for the victim’s life. Financial ruin often accompanies this injustice, as innocent victims may lose their jobs, homes, and savings. The difficulties continue even after release, as the stigma of being an ex-convict can hinder employment opportunities. Wrongfully imprisoned victims may face insurmountable financial obstacles, relying on government assistance or the goodwill of others to survive. Pre-settlement funding provides these people with the financial support necessary to rebuild their lives, offering a sense of justice and closure in the face of immense adversity.

Overall, is Pre-Settlement Funding a Valuable Resource for Plaintiffs?

In light of the aforementioned challenges faced by plaintiffs, pre-settlement funding emerges as a vital resource to alleviate their financial troubles. Unlike traditional loans, pre-settlement funding does not require credit checks or income verification, making it accessible to plaintiffs in dire financial straits. Moreover, there are no monthly payments to worry about, and if the case is unsuccessful, the loan does not need to be repaid. This financial relief allows plaintiffs to focus on their legal battles without the added stress of how they’ll pay their bills.

By providing financial assistance, pre-settlement funding enables plaintiffs to cover living expenses, mortgage payments, car loan payments, and medical debt while their case progresses toward a fair resolution. It offers a risk-free opportunity during the litigation process, ensuring that plaintiffs can sustain themselves during what can be a lengthy ordeal. With non-recourse financing, plaintiffs are not held responsible for repaying the borrowed funds if their case does not result in a settlement or award. This feature makes pre-settlement funding an ideal option for those facing financial strain while fighting for justice.

Furthermore, pre-settlement funding levels the playing field between plaintiffs and defendants, particularly when the defendant is a large corporation backed by insurance companies and experienced legal teams. Lawsuit funding provides plaintiffs with the financial stability necessary to pursue their cases effectively and increases their chances of securing the compensation they deserve. By bridging the financial gap, pre-settlement lawsuit funding empowers plaintiffs to go through the legal system on equal footing, ensuring that they have the resources to fight for their rights.

The Takeaway

People who are going lawsuits often need money to cover their expenses, such as medical costs and living expenses. Pre-settlement funding provides this assistance.. Whether dealing with the aftermath of a car accident, seeking justice for medical malpractice, grappling with the consequences of slip and fall injuries, enduring the financial strain of wrongful death cases, or overcoming the financial losses following wrongful imprisonment, plaintiffs have access to pre-settlement funding in their time of need. In addition to easing financial burdens and leveling the playing field, this type of funding provides individuals with the confidence to pursue their cases. As a result, plaintiffs are able to access justice without sacrificing their financial well-being, ultimately facilitating a more equitable and fair legal system for all.

Need to take care of your finances while fighting for the best settlement for your case? Look to Baker Street Funding’s lawsuit advances. You will get your funds within 24 hours from approval with non-compounding low rates on lawsuit loans and caps. Apply today.

At Baker Street Funding, we give you the inside scoop on pre-settlement funding by covering a variety of ... financing and legal topics to help you made the best financial decision for you and for your case. Our experts break down complex ideas in a way that's easy to understand so you can stay informed on current trends as well as tips and fact checked information by the CEO and founder, Daniel Digiaimo. Furthermore, Despite its name, consumer legal funding is not a loan. If you don't win your case, no payment needs to be made back. To avoid confusion and simplify matters on, we'll use the word "loan" throughout this article.

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