Are you thinking about filing a future lawsuit? If so, it’s vital to learn the true cost of your legal claim. Believe it or not, the cost of your case will depend on the type of lawsuit you file and your attorney.
You may hesitate to seek the relief you deserve due to the cost of a lawsuit. However, requesting a lawsuit loan can help you secure the funds you need to obtain relief for your injuries.
Don’t know if lawsuit financing is the right call? We’ve got you covered. Here are the most frequently asked questions about these types of loans.
1. Can You Request a Loan for a Future Lawsuit?
You may think you can request a lawsuit loan before filing a case. However, lenders only provide this type of financing for pending cases. Before considering these loans, it’s vital to learn about the potential outcome in your case.
You should consult several legal experts to obtain a clear picture of your possible settlement or award. Keep in mind your loan depends on the relief you’ll receive from the other parties involved in your case. Before requesting financing for your case, it’s recommended to try your best to learn as much as you can about lawsuit loans and how they work.
2. Are All Cases Eligible for Lawsuit Financing?
You may think the financial hardship caused by your injuries and damages makes you eligible for this type of financing. Yet, that’s far from the truth. Lawsuit loan lenders extend financing to plaintiffs with a high probability of winning or settling their cases.
3. Do You Have to Repay Your Lawsuit Loan No Matter What?
If you win or settle your case, you have to repay your lawsuit loan. However, plaintiffs don’t have to repay their loans if they end up losing their case. Keep in mind your settlement or award the court issues will cover your lawsuit loan.
4. What Are the Typical Approval Requirements?
Retaining an attorney on a contingency basis, having a lawsuit in progress and financial hardship are typical approval requirements. As part of the application process, you may have to prove the other party’s fault. Keep in mind approval requirements may vary on a lender basis.
5. Will You Receive Any Money from Your Settlement?
You may receive some of the settlement or award the court issues for your legal claim. It will depend on the total amount of legal fees, unpaid medical expenses, court fees, and lawsuit loan debt.
As a plaintiff, you’ll receive the remainder after all these financial obligations are repaid. During your application process, you should ask your potential lender about their repayment terms and process.
Is Lawsuit Financing Your Best Option?
While the first step in your legal claim is consulting an attorney, you should consider the potential costs of your case. During your initial consultation, it’s important to ask your attorney for an estimate of their fees and your potential outcome.
You should also consult lenders to learn about your chances of approval for financing your future lawsuit. Keep in mind your financing options will depend on the potential outcome and monetary relief. While your injuries may put you and your loved ones under financial distress, obtaining a lawsuit loan can help you leverage your situation and obtain the best outcome in your case.
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