Knowing What Settlement Loan Is
There are so many terms that we can use to refer to settlement loans. A few of these terms are lawsuit loans, lawsuit fundings, pre-settlement financing, litigate funding, legal funding, pre settlement loan, and many more. All of these terms denote a single meaning. So, what is lawsuit funding?
A lawsuit funding is clearly different from a loan. It is a cash advance or a financing scheme that only asks for payment from the plaintiff if the plaintiff wins in court. Therefore, if he loses in court, then he owes nothing, not even a single centavo, from the lawsuit loan company. A settlement loan provides immediate cash to the plaintiff in order to allow him to use this for whatever purpose it may serve.
The Terms and Conditions
There are terms and conditions that you definitely need to remember if you are planning to apply for a settlement loan. We provided the terms and conditions below that you must never ever forget. These are the fact that:
- A lawsuit loan is a means of getting instant money specific to a lawsuit or a personal injury complaint.
- It levels the playing arena between the defendant and the plaintiff.
- It is usually provided by third parties. This means that it is not granted by lawyers or anyone who has a say in the lawsuit.
- It can be a good method in acquiring a portion of the plaintiff’s future settlement fund.
- The plaintiff or complainant can use the fund he receives from the lawsuit loan company in whatever means.
- The settlement loan will only be paid right after the case is considered closed. If the complainant loses, then there is nothing for the lawsuit loan company.
- Lawsuit loans are not covered by lending laws as these are not considered to be loans.
The Usual Client of Lawsuit Loan Companies
There are so many complainants who are interested in getting a lawsuit loan. Of course, who would want to wait for long years before you get the settlement from the lawsuit? If you have the means to get it as earlier as possible, then for sure, you will immediately grab it. Fortunately, the settlement loan is available to assist the complainants. The lawsuit loan companies usually entertain clients who have legal cases wherein a personal injury is involved. Cases such as British petroleum case, dog bite case, property damage case, breach of contract case, verdict cases, labor law case, and other cases can also qualify for a pre-settlement funding grant.