Pre-Settlement Legal Funding Benefits the Injured To Get More Settlement Money in Their Personal Injury Case
Personal injury accidents create a lot of problems beyond just the physical damage that you can see on the automobile that was involved in the accident. If you or a loved one have ever been seriously injured in a car crash or other type of personal injury accident, you understand the toll and hardship this can have on you, your family, and your friends. As a result of a personal injury, you may be dealing with both physical injuries and emotional anguish. To make matters worse, your injuries may be preventing you from working and leave you in a bind financially and at risk of permanently losing your job.
It isn’t fair to be dealing with physical, emotional, and financial challenges as a result of an accident that wasn’t your fault. Although it isn’t fair, unfortunately, this is the situation too many victims find themselves in.
If this is the situation you find yourself in, your first step should be to hire the best personal injury lawyer possible and see if you qualify to file a lawsuit against the person(s) or company that should be held financially responsible for your injuries. Fortunately, most personal injury law firms do not charge you for a consultation, and if they decide to take on your case, they typically will only charge you if they win a financial settlement for your case.
The Key to Your Financial Freedom
Getting a lawyer or legal firm to represent you as part of your personal injury lawsuit is key because it lets the insurance companies know you are serious about getting the compensation you deserve. Insurance companies will do their best to pay out as little as possible in the event of a claim, regardless of the severity or the extent of the damage. Hiring a personal injury attorney allows you to have someone advocating on your behalf, provide you with advice about your best treatment options, as well as help you get the response you need from an unresponsive insurance company.
Additionally, hiring an attorney to represent you in your personal injury accident claim opens the door for you to be eligible for pre-settlement funding. In order to qualify to receive an advance against your future settlement, most pre-settlement funding companies require you to have active representation by a personal injury law firm.
What is Pre-Settlement Funding?
Pre-settlement funding provides a plaintiff or injury victim with an advance against their future settlement. Unfortunately, insurance companies representing the at-fault parties in an accident typically will look after their financial interest first, rather than seeking to help the injured victim. As a result, getting a settlement can be a tedious and lengthy process leaving you responsible for managing the financial impacts of the accident on your own. This is where pre-settlement funding can be a tremendous asset and help.
In pre-settlement funding, the only item of benefit is the value of your pending personal injury lawsuit. As a result, pre-settlement funding companies do not require background checks, credit checks or any proof of ongoing income. This is a tremendous benefit considering being able to provide assets as collateral or a stable financial background can be a major stumbling block for many individuals seeking traditional bank financing.
It is important to know that pre-settlement funding is non-recourse, meaning you only have to repay the money advanced against your lawsuit if your attorney successfully wins your lawsuit. Additionally, when you win your case, your attorney handles paying back the funding provider out of your settlement, so you don’t have to worry about making the payment back to the funding company. If approved for funding, the process is very quick, and most pre-settlement funding companies will provide you with money within 24 to 48 hours.
More Time Means More Money
Pre-settlement legal funding provides you and your lawyer additional benefits outside of providing the money you need to pay your bills. As previously mentioned, insurance companies are often not looking out for your best interest. Not to mention, one of the many tactics at-fault insurance companies will try is to stall settling the case for as long as possible in hopes of the claimant taking a lower settlement amount to just get the case resolved and cash in their pocket. When personal injury victims are unable to withstand the financial pressures of an insurance company, clients are forced to settle prematurely and for less money than they deserve.
Getting pre-settlement funding provides financial relief for plaintiffs while giving their attorneys more time to work their case, ultimately increasing the payout amount. Data from the National Center for State Courts and the United States Department of Justice shows that most personal injury cases are resolved within 1-3 years. You may be able to make it financially for 12 months, but if forced to wait 24 -36 months for a settlement, depending on your situation, it could be unbearable.
The Benefits Are Clear
The benefits of pre-settlement legal funding for you as the victim and your lawyer are very clear. Pre-settlement legal funding provides the money you need right now to cover your ongoing expenses and provides your attorney the additional time they need to work your case, do the proper investigation, negotiate with the insurance company, or even possibly take your case to trial in order to maximize your payout amount, so you get the most money possible. Insurance companies frequently utilize financial pressures to get you to accept a settlement that is less than the case’s true value. Pre-settlement legal funding provides instant relief to your financial strains, allowing you and your attorney the proper amount of time needed to either continue negotiating with the insurance company or proceed to trial and get the highest payout amount for you.
Charles Price, CEO of Capital Now Funding