The legal process can be complicated and frustrating for plaintiffs, so when it comes to lawsuit funding, plaintiffs need simplicity. Steps that bog down the process of lawsuit funding include:
Complicated applications. Many types of funding require applicants to fill out mountains of paperwork for just the approval process alone. But plaintiffs should look for an easy online application that mostly deals with the details specific to their lawsuit. Also, what can take a lot of time when filling out the application is the communication between the lender, the plaintiff, and the plaintiff’s attorney concerning sending and receiving the necessary documents. With the right lawsuit loan company, plaintiffs can find a simple application online and the information required from the plaintiff and the attorney will be minimal.
Background and credit checks. After receiving the applications, lenders sometimes run a credit check on the applicant’s finances and may even call some references. This can not only raise some privacy concerns for the plaintiff, but it can make the approval process take even longer. When banks or other types of lenders check an applicant’s finances, they will look at debt, current income, and other financial information that could lead to the lender becoming concerned with how eligible the applicant is, which can be especially problematic for plaintiffs who have been out of work for a while. A typical procedure for lawsuit loans is to not order credit or background checks, so the process is both more private and streamlined.
Receiving payment. This can be a problem not only with the plaintiff’s lender but with the insurance company, too. If the plaintiff’s case deals with an injury or a car accident, then they may have problems with the insurance company refusing or holding off payment. Dealing with medical insurance can cause issues as well. And with lenders, even after approval, the processing involved with the transference of payment can slow the process. When seeking lawsuit funding, plaintiffs should look for a company that gets their funding to them shortly after approval with a check in the mail or having it wired to them.
Monthly repayments and interest. If the plaintiff repayment is structured monthly and accrues interest, then they might be dealing with settling their finances long after the lawsuit has concluded and the ordeal is otherwise over. However, lawsuit loans typically expect repayment after the settlement is reached.
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.
