If you're considering getting a pending lawsuit loan, you're not alone. Every day we provide cash advances on pending lawsuit settlements to plaintiffs across the county.
As with any financial decision, it's important that you get all the facts before making the decision to seek pre-settlement funding.
Because civil lawsuits like personal injury or employment law claim lawsuits can take months or even years to resolve, plaintiffs often face financial hardships, especially if a claim-related injury prevents them from working.
If you are in this situation, getting a cash advance against your pending lawsuit could help.
Settlement loans help plaintiffs regain financial independence while they wait for a settlement.
Pending lawsuit loans can even help you get a higher eventual settlement by taking the pressure off of your attorney to settle your case faster for a lower value.
Any reputable lawsuit loan company ought to be fully transparent about the application process and the overall cost of a cash advance on a pending lawsuit. Here are 6 important facts about pending lawsuit loans that you ought to know before you apply.
Pending Lawsuit Loans Are 10-20% of Your Case Value
Typically, most lenders disburse a cash advance on a pending lawsuit equal to 10-20% of the settlement value.
They determine this amount based on the severity of your injuries, the length of your case, and your own estimate.
To get the best estimate, discuss the value of your potential settlement with your attorney before applying for a pending lawsuit loan.
Lenders Put High-Interest Rates on Pending Lawsuit Loans
There are sharks in the lawsuit loan industry who charge upwards of 200% interest.
Don’t select a lender that charges more than 1-3% monthly or 12-36% annually.
Only take out a cash advance for a pending lawsuit that covers basic living expenses and necessities.
Are you ready to apply?
We offer 24-hour approval on structured settlement loan purchases. Then, we bring your structured settlement to the court for approval.
Pending Lawsuit Loan Brokers Have Expensive Service Fees
Always avoid working with brokers that deal with direct loan companies.
These brokers usually add 15-20% to the cost of your pending lawsuit loan.
They also send your case information to dozens of companies that may call your attorney without your consent. This unnecessarily diverts your attorney’s attention from your case.
Lenders Cannot Disburse Pending Lawsuit Loans Until They Review Case Documents from Your Attorney
Make sure you collect the following case documents from your attorney prior to applying for a pending lawsuit loan:
- Medical reports;
- Police reports;
- A copy of your complaint; and
- Your demand letter.
Most lenders request this information from your attorney when reviewing your application.
To save time waiting for your cash advance on a pending lawsuit, prepare these documents before you apply for a pending lawsuit loan.
Your Attorney Will Respond to Lenders Faster If You Talk to Your Them Before Applying
Always give your attorney a heads-up before applying for a pending lawsuit loan.
This helps them prepare documents requested by the lender. Since lenders cannot disburse your cash advance until they review your case, you should keep your attorney and your lender in sync.
Related: Lawsuit Loans Without an Attorney
Getting a Cash Advance on Your Pending Lawsuit Could Buy Your Attorney Time to Reach a More Favorable Settlement
Our clients frequently tell us that because they were able to get immediate cash against their lawsuit, their attorney actually was able to achieve a higher settlement than they would have in the absence of the lawsuit loan.
In most civil claims, the defendant (normally an insurance company) wants the plaintiff to settle quickly. This is because a fast settlement typically means that they expend less resources, and get away with a lower settlement.
If financial stress is causing your attorney to consider taking a lower settlement offer for your case, a pre-settlement cash advance may be the perfect solution to buy them time to keep applying pressure, and ultimately achieve a higher payout.
Contact Ally Lawsuit Loans to Apply for a Pending Lawsuit Loan Today
If you need a cash advance on a pending lawsuit to help with bills or living expenses, contact Ally Lawsuit Loans. We have the lowest interest rates in the industry and review applications within 24 hours.
In addition, we work on a contingency fee basis, which means you repay nothing if you lose your case.