Breaking News
Sunday, October 19, 2014

5 Keys To Consider Regarding Lawsuit Loans And Settlement Loans

Are you interested in obtaining additional information regarding the benefits of lawsuit funding such as lawsuit loans and settlement loans? If so, this article is designed to provide such information. Yes, many individuals have pursued and obtained litigation pending in the past. However, there remains a large segment of our population that has never even heard of this form of funding. These individuals have no clue as to where to begin. Unfortunately, large numbers of individuals who are familiar with the term really don't know how to get started in this process.

payday cash advances, cash loan without bank account, loans without bank account,

Let's take a few seconds and analyze the situation more carefully. Prior to making a determination as to whether such funding is appropriate for you, it is reasonable to evaluate some of the factors surrounding this particular issue. It will be prudent for you to analyze both the benefits and costs involved in obtaining such financial-assistance.

First, let's first address the terms "lawsuit loans" and "settlement loans." In the first place, these are misnomers. These instruments are really not loans at all. They are forms of funding that are provided in anticipation of settlement/award in an underlying lawsuit. Customarily, the amount that will be advanced prior to the litigation will be approximately 10% of the anticipated value of the claim. Due to the fact that you are not required to repay the monies advanced if you do not prevail in the underlying claim, this form of financing is referred to as "non-recourse."

Customarily, both you and the opposing party would like to be able to resolve the issue as quickly as possible. It is important to keep in mind that, if the insurance carrier representing the defendant perceives that you do have a valuable claim, the insurance carrier will attempt to resolve the matter very quickly and, unfortunately, at a significantly lower amount than the actual value of your claim. Naturally, the insurance carrier and the defendant really just hope that you will go away!

It is also important to keep in mind that insurance carriers are going to hire an insurance defense firm to represent the insurance company. (Yes, I realize that the attempt is to portray the insurance carrier as representing the defendant. However, the truth is that the insurance carrier is clearly looking out for its own interests.) In this very litigious environment, one cannot blame insurance carriers for spending millions of dollars annually on insurance defense attorneys. However, one should not forget that insurance carriers or not there merely to dole out funds to individuals who file claims against their insureds. In fact, many insurance carriers have "in-house" attorneys to keep this from happening.

Second, keep in mind that irrespective of the clarity of the facts of the case existing in your own mind, it is very likely that the defendant has a much different point of view regarding the matter. Strangely, many individuals naïvely assume that such a situation will not occur.

It is very common that, by the time the case gets to trial, many different versions of the account have evolved. There are many reasons this may arise. Of course, one must remain cognizant of the fact that it may simply be due to the fact that each side is attempting to protect his/her interests.

However, we typically see life through our own prisms. Differences of opinion may certainly honestly arise.

Unfortunately, as individuals attempt to resolve these conflicts, expenses incurred do not stop. Simply because you sustained injuries as a result of someone else's negligence doesn't elicit much sympathy. This is one of the primary reasons that forms of lawsuit funding such as settlement loans and lawsuit loans evolved.

Third, individuals frequently want to know what the interest rates will be on litigation funding obtained. Once again, due to the fact that these instruments are not loans at all, there are no interest rates that will accrue. In lieu of interest rates, funding-entities will charge a "risk-fee." The risk-fee will be contingent on the amount of risk involved in the underlying claim.

Fourth, most individuals want to know what happens if they lose the underlying claim. Fortunately, due to the fact that these instruments are non-recourse, there is no recourse taken against individuals who receive either lawsuit loans or settlement loans if they do lose the underlying claim. This presupposes that these individuals have not engaged in some inappropriate conduct which resulted in dismissal of their claim.

Fifth, many individuals will also want to know what will happen if they receive more in the way of lawsuit funding than they obtain in the underlying lawsuit. This is a risk that the funding-entities take. If the amount awarded in the underlying claim is less than the amount advanced, the amount of money repaid will be limited to the amount awarded.

In the vast majority of instances, once individuals consider benefits derived from the use of lawsuit loans and settlement loans, they view them favorably and worth any risk-fees attendant thereto. Once these individuals have the information readily available, they are very likely to opt for this form of funding.

Those individuals who do elect to pursue either lawsuit loans or settlement loans should seek the services of a good litigation funding broker. Such individuals will be able to guide those in search of such funding to the appropriate funding-entities and avoid protracted delays due to failure to obtain requisite documentation, etc

$ 1500 Wired To Your Bank In 1 Hour. No Faxing Payday Loan Advance. No Faxed Document. Approval Takes Only Second. Apply Online Today!

Rating of

Get Online Application at online payday loans.


Post a Comment

Toggle Footer