Personal Injury

The Process of Securing Personal Injury Lawsuit Funding

Posted on by Fast Funds
The Process of Securing Personal Injury Lawsuit Funding
07
Aug

Navigating the aftermath of a personal injury can be a daunting task, especially when medical bills and other expenses start piling up. Personal injury lawsuits often take months, if not years, to resolve, leaving plaintiffs in a financially precarious position. This is where personal injury lawsuit funding comes into play, offering a lifeline to those in need of financial support while they wait for their case to settle. Understanding the process of securing this type of funding can help alleviate some of the stress and uncertainty that accompanies a personal injury claim.

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Understanding Personal Injury Lawsuit Funding

Personal injury lawsuit funding, also known as legal funding or lawsuit loans, is a type of financial assistance provided to plaintiffs involved in personal injury lawsuits. This funding is not a traditional loan; rather, it is a cash advance against the potential settlement or judgment of the lawsuit. The primary goal of this funding is to help plaintiffs cover their immediate financial needs, such as medical bills, living expenses, and legal fees, allowing them to focus on their recovery and legal battle without the added pressure of financial hardship.

The Eligibility Criteria

The first step in securing personal injury lawsuit funding is determining eligibility. Not all personal injury cases qualify for funding, and funding companies typically have specific criteria that must be met. Generally, to be eligible for lawsuit funding, a plaintiff must have a strong case with a high likelihood of a favorable outcome. This means that liability must be clear, and there should be substantial evidence supporting the claim. Additionally, the defendant must have the ability to pay a settlement or judgment, either through insurance coverage or personal assets.

Working with an Attorney

A crucial aspect of securing personal injury lawsuit funding is the involvement of a qualified attorney. Most funding companies require that plaintiffs be represented by an attorney who is experienced in personal injury law. The attorney plays a pivotal role in the funding process by providing necessary case information, documentation, and legal opinions that help the funding company assess the strength of the case. Furthermore, the attorney must agree to cooperate with the funding company and ensure that the advance is repaid from the settlement proceeds.

- WHAT CLIENTS ARE SAYING -

In June, my wife and I asked our attorney about giving us a loan against any settlement proceeds from our case. He told us that the state bar does not
permit lawyers to participate in the financing of clients. The offer of settlement was very low so the case needed to be filed in court. I called Fast Funds. Within 24 hours, I had entered into an agreement with them, selling a very small portion of the anticipated proceeds to them in exchange for immediate financing. Now my suit is in court and I don't have to worry about money until it's outcome. Thank god for Fast Funds
B.G.
As a result of the advances you have made to our client, we were able to refuse an extremely low settlement offer and take the case to court. We settled the day of the trial for a very generous sum. Had there been no advances by Fast Funds, our client would have had no choice but to accept the inadequate offer since he was in severe debt due to his inability to work. Thank you for your helpful assistance in providing our client with the ability to persevere.
C.F.
I was involved in an accident which took my left leg. I was forced to live homeless for eleven months. Thanks to the Fast Funds people advancing money. I now live in an apartment,I am walking on a prosthetic and otherwise getting my life back together, even though my attorney has not yet settled my lawsuit. I don't know what I would have done for money because the insurance company has offered nothing so far.
A.R.S.
I was involved in an auto accident which caused me to suffer a herniated disc. Because of this injury, I was forced to miss many months of work. I had no income and no place or person to turn to for money. My attorney told me he was unable to help with any financing and the insurance company was refusing to settle the case. I turned to a company called Fast funds. They immediately reviewed my file and took the financial pressure off by providing me with interim financing. I am now able to wait for as long as it takes for my lawyer to achieve a successful result in my case. Without the financial involvement of Fast Funds, I don't know what I would have done.
K.P.
I wanted to thank you for your sensitivity in helping me cope through a very difficult time in my life. Without your help, I would have been unable to pay my rent , forcing my wife and children to be put on the street. I have not been able to return to work and I was tempted to accept the insurance company's very low offer to settle, even though I knew it was not fair or reasonable. You have given me the ability to withstand the financial pressures. Thanks for your help. I will never forget it
C.S.
I have in the past referred clients to Fast Funds Inc., a non-recourse company. The experience of my clients
and my firm were totally positive. Fast Funds was responsive to the clients financial and emotional needs, provided the necessary emergency money and did not interfere in any manner with my handling of the cases. The clients, without my input, negotiated the advance directly with the company. In each case, they were completely satisfied with the final result of the case, including the amount of profit earned by Fast Funds. Non-recourse funding is clearly a valuable tool to the plaintiff's attorney.
M.J.L.
"I am writing to recommend the valuable assistance of the Fast Funds Inc., a company that provided interim funding to financially needy clients. They help to insure that a case will be brought to a successful resolution. A good case in point is when I was offered $75,000.00 for a seriously injured client. Had she not been able to take advantage of the advance financing offered by Fast Funds, I would have been forced to take the money. As it turned out, because my client now had the financial ability to withstand the pressures of time, I tried the case to a jury and received a verdict of $315,000.00.
M.S.D.
It is my belief that non-recourse companies, such as Fast Funds, the company to whom I refer my needy clients, perform an invaluable service to both the client and the attorney. Simply put, it is common knowledge that one of the tools negotiation utilized by insurance companies is time. Offering
considerably less money than the actual case value to a client in desperate need of funds while the case is pending, gives the insurance companies a tremendous advantage. This advantage is minimized and the playing field is leveled when the client has the ability to obtain funds for a minimal portion of the anticipated proceeds. Many times, with no prospects of income, an injured party will settle the case for whatever offer is made.
R.J.F.

The Application Process

Once a plaintiff has determined their eligibility and has retained an attorney, the next step is to apply for personal injury lawsuit funding. The application process typically involves filling out a form provided by the funding company, which includes details about the case, the injuries sustained, and the anticipated settlement amount. In addition to the application form, the plaintiff will need to provide supporting documentation, such as medical records, police reports, and legal filings, to substantiate their claim.

Review and Evaluation

After the application and supporting documents are submitted, the funding company will conduct a thorough review and evaluation of the case. This process involves analyzing the strength of the evidence, the extent of the injuries, and the likelihood of a favorable outcome. The funding company may also consult with others in various applicable fields to gain a deeper understanding of the case. This evaluation process can take anywhere from a few days to several weeks, depending on the complexity of the case and the amount of documentation provided.

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Approval and Funding

If the funding company determines that the case is strong and meets their criteria, the application will be approved. Once approved, the plaintiff will receive a cash advance, which can be used to cover various expenses. The amount of funding provided will depend on the anticipated settlement amount and the specific needs of the plaintiff. It is important to note that the advance is typically non-recourse, meaning that if the plaintiff does not win the case or receive a settlement, they are not required to repay the advance.

Terms and Conditions

Before accepting the funding, plaintiffs should carefully review the terms and conditions outlined in the funding agreement. This agreement will detail the amount of the advance, the fees and interest rates associated with the funding, and the repayment terms. It is essential for plaintiffs to fully understand these terms and discuss any concerns with their attorney before signing the agreement. Transparency and clear communication with the funding company can help avoid any misunderstandings or surprises down the road.

Repayment of the Advance

The repayment of the advance is contingent upon the successful resolution of the lawsuit. When the case is settled or a judgment is awarded, the funding company will receive their repayment directly from the settlement proceeds. The attorney will typically handle the disbursement of funds, ensuring that the funding company is paid first, followed by any other liens or outstanding expenses, with the remaining amount going to the plaintiff. If the case is unsuccessful, the plaintiff is not obligated to repay the advance, underscoring the non-recourse nature of personal injury lawsuit funding.

The Benefits of Lawsuit Funding

Personal injury lawsuit funding offers several benefits to plaintiffs who find themselves in financial distress while awaiting the resolution of their case. One of the most significant advantages is the ability to access immediate financial relief without the need for a credit check or employment verification. This is particularly beneficial for plaintiffs who may have lost their job or have a poor credit history due to their injuries. Additionally, lawsuit funding allows plaintiffs to cover essential expenses, such as medical bills, rent, and utilities, ensuring that they can maintain their quality of life during the litigation process.

Moreover, by alleviating financial pressure, lawsuit funding enables plaintiffs to avoid settling their case prematurely for a lower amount than they deserve. Insurance companies and defendants often use the tactic of prolonging the litigation process in the hopes that financially strained plaintiffs will accept a quick and undervalued settlement. With the support of lawsuit funding, plaintiffs can afford to wait for a fair and just resolution, which can ultimately result in a higher settlement amount.

Potential Drawbacks and Considerations

While personal injury lawsuit funding can be a valuable resource, it is not without its drawbacks. One of the primary concerns is the cost associated with the funding. Lawsuit funding companies charge fees and interest rates that can be higher than traditional loans, which can significantly reduce the plaintiff’s net settlement amount. It is crucial for plaintiffs to carefully consider these costs and weigh them against their immediate financial needs and the potential benefit of holding out for a higher settlement.

Another consideration is the impact of the funding on the attorney-client relationship. Some attorneys may be hesitant to work with funding companies, as they may feel that the funding company’s involvement could influence the litigation strategy or settlement negotiations. Plaintiffs should have open and honest discussions with their attorney about their financial needs and the potential benefits and drawbacks of securing lawsuit funding.

Choosing the Right Funding Company

Selecting the right funding company is a critical step in the process of securing personal injury lawsuit funding. Plaintiffs should conduct thorough research and consider multiple funding companies before making a decision. Factors to consider include the company’s reputation, transparency, terms and conditions, and customer service. Reading reviews and seeking recommendations from attorneys and other plaintiffs who have used lawsuit funding can provide valuable insights and help plaintiffs make an informed choice.

Securing personal injury lawsuit funding can provide much-needed financial relief for plaintiffs navigating the challenging landscape of personal injury litigation. By understanding the eligibility criteria, working closely with an attorney, and carefully reviewing the terms and conditions, plaintiffs can make informed decisions that support their financial well-being and legal goals. While there are costs and considerations associated with lawsuit funding, the benefits of accessing immediate financial support and avoiding premature settlements often outweigh the drawbacks.

Contact Fast Funds Today

If you are facing financial difficulties while awaiting the resolution of your personal injury lawsuit, consider reaching out to Fast Funds. Our experienced team is dedicated to providing compassionate and transparent financial assistance to help you through this challenging time. Contact us today to learn more about how we can support you and your case. Let Fast Funds be your partner in securing the financial stability you need while you pursue the justice you deserve.