Many plaintiffs while searching for pre-settlement funding become skeptical because of the myths involved in these types of cash advances.
A lot of people get confused because they read specific laws regarding lawsuit loans somewhere. And then they hear a different story about legal funding from a family member, friend, or lawyer.
But, are they true, the way to bunk the myths, and know the facts of pre-settlement loans from the experts?
Lets’ check some of the ways
Talk To Your Lawyer
If you want to get the facts straight about these pre-settlement loans, Consulting with someone who has enough knowledge and understanding of the whole lawsuit cash advance process is important.
For instance, if you are in the middle of a legal dispute and you realize that you are cash-strapped because of the litigation costs, You can speak with your lawyer regarding these pre-settlement loans.
Your lawyer can understand the financial troubles that you are going through. Being a plaintiff in a case can prove to be tedious and time-consuming. If you have any questions about how pre-settlement funds work, your attorney can certainly assist you.
Aside from that, he can also present you with more financial options, depending on your needs.
Consult A Legal Financing Company
Other than your attorney, consulting a legal funding company is also another excellent way to learn about these cash advances.
If, for example, you want to know if you can get a settlement loan, a legal funding company can look at the strengths and weaknesses of your case and help you understand the terms and conditions of a lawsuit loan right away.
Pre-settlement funding companies can also assist you with the repayment conditions of the loan. It is important to get the specific numbers involved and the terms of the agreement with the firm so that you will know what you are getting yourself into.
Based on the terms of the offer, you can decide if the pre-settlement funding is really for you or if you want to explore your options somewhere else.
Speak To Experts
Talking to qualified professionals regarding the subject of lawsuit loans is important because there are several myths about litigation financing out there.
For instance, the public often refers to these pre-settlement advances as loans, when in fact they are based on a non-recourse system.
In a nutshell, this means that while traditional creditors can pursue you legally for not paying your debt, Lawsuit financing involves repayment only in cases when an extra-judicial tribunal reaches a favorable verdict.
If you lose the case, you do not need to repay the lending firm. The great thing about pre-settlement funding is that companies do not immediately require you to pay them back.
Unlike regular loan companies, which will generally send you monthly bills after giving you cash, Before asking you for money, pre-settlement funding companies will wait for the court to decide on your case.
Further, you can also check out Are Settlement Loans Bad? to know better about it.