If a plaintiff is in the middle of a lawsuit, funds could be tight. Many plaintiffs file the lawsuit because of an injury or another situation in which they can no longer work. Insurance can sometimes help meet ends meet, but often that is not enough. Often times insurance companies will prolong the process or practice delay tactics so that they do not pay out large sums of money. This can lead to further frustration and a lack of funds to pay for necessary bills or medical treatment. A lawsuit loan is the answer to your financial strains during the middle of a pending lawsuit or claim.
Some plaintiffs may decide to file for a personal bank loan. However, lawsuit loans are just for situations like this. Traditional borrowing is the most well known way to get cash, but this form of borrowing has its downsides especially when you are in a lawsuit.
A lawsuit loan company will give a cash loan using the impending settlement as collateral. These companies base their funds on a case by case basis to best determine the amount of the loan. The loan should be used to pay for bills or medical costs, however the money can be used as it is needed.
Banks, however, cannot make that risk. Unlike with lawsuit loans, the plaintiff’s credit history and employment factors into this process. If you have had past issues with credit, the bank can deny you. Basically, these traditional loans do not factor in the ongoing lawsuit and base eligibility on other factors. There is often a lot of paperwork and the process takes a long time to get a loan with a bank. When you are in the middle of a lawsuit or pending claim, you don’t have the luxury of time when waiting for a loan. Lawsuits can be very expensive and with your bills and/or medical costs adding up the money is needed quickly. Having the money in a timely fashion can also allow your attorney to fight for the settlement you deserve instead of settling for a lower amount.
A lawsuit loan is based on the strength of your case. If you have a bad financial history, you won’t have to worry about that as much while applying for a lawsuit loan. There are no credit checks or employment verifications needed to apply for lawsuit funding. The application process is very simple and once a loan amount has been determined, the money will be available within 24-28 hours.
When deciding between a personal bank loan and a lawsuit loan, it is important to know that lawsuit loans are designed especially for plaintiffs in lawsuits. It is the easiest route to take in getting cash during an impending lawsuit.
About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.
