Frequently Asked Questions Regarding Lawsuit Funding
Author: Dr. Tom Rhudy // Category: loansQ. “How much is your interest on lawsuit funding?”
A. This is a very frequent question and one that definitely demands an answer. It’s important to realize that the lenders to whom we submit applications do not charge interest. This is because they’re not providing loans. Remember, if you were receiving a loan, it would be necessary for you to repay that loan, irrespective of the outcome. However, these are non-recourse advances. Simply stated, if you lose your case, you pay nothing. Only the funding-entity will lose money in such cases. The funding-entities will charge a risk-fee. The risk-fee is contingent on the risks that are inherent in making the cash advance. It is important for you to realize that prior to signing anything, you’ll have an opportunity to review the details of the transaction and ultimately determine whether it is something with which you wish to proceed.
Q. “What is the length of time that it takes to obtain either a lawsuit loan or lawsuit funding?”
A. A lot of this will depend on the degree to which your attorney cooperates. The broker will send requests for documents to your attorney. If the required information is obtained on the same day that the broker is able to talk to your attorney, you may receive your settlement loan within 1-2 days. Remember, it is very important for you to notify your attorney that you’re requesting a settlement loan and that you want your attorney to cooperate in obtaining the documentation as quickly as possible.
Q. “Do I have to pay for anything up front?”
A. No, settlement loans have nothing that the requestor must pay in advance. This is just one of the many advantages of obtaining such financial assistance.
Q. “If my request is approved, how am I to go about obtaining either a lawsuit loan or lawsuit funding?”
A. If you’re in a hurry, the funding-entity can arrange to either FedEx a check to you overnight, or, if you wish, the funding-entity may wire the funds directly into your account for a pre-determined fee.
Q. “is it necessary for me to provide either my birth-date or Social Security number prior to obtaining either a lawsuit loan or lawsuit funding?”
A. No, this will not be required initially. It is important to realize, however, that if you are approved for either a lawsuit loan or lawsuit funding, you will be required to provide the aforementioned information prior to release of the requested funding.
It is important for you to be aware of the fact that the broker will be required to contact your attorney as quickly as possible and to forward a Request for Documents to your attorney. It will also be necessary for the broker to ensure that the attorney actually receives that request. The applicant would be wise to keep in mind that it is customarily the staff, not the attorney himself/herself, who will be providing the requested documentation.
The broker must work very quickly to determine who it is within the law firm that the broker will need to speak with to obtain the requisite documentation. If your broker is diligent, the broker will follow up with the law firm once again if the documents are not received within 1-2 days of the initial Request for Documentation.
You should be aware of the fact that if your attorney is not cooperative, the broker will ask you to assist in obtaining the documents as quickly as possible. Once again, the clock is ticking and the attorney works for you, not the other way around!
If you have a particularly uncooperative attorney, a good broker will never suggest that you retain another attorney. However, it is important that your attorney cooperate if you are to obtain lawsuit funding. Without both your cooperation and your attorney’s cooperation, the settlement loan will never be obtained.
If your attorney requires that you sign a Release of Medical Records, your broker will obtain the requisite release form and forward it to you for your review and signature. Once you’ve reviewed and signed that document please forward that to your attorney as quickly as possible. Additionally, it is important for you to notify the broker that you have done so.
If all goes well, the documents will be submitted following the initial contact. Upon receipt of the requested documents, the broker will review your documents to ensure that the information is complete. If the information is complete, your packet will be submitted to a funding-entity for review. Upon completion of the funding-entity’s review, if additional documentation is required, the applicant will be notified. If no additional documentation is required, the packet will be submitted to underwriters for review and consideration. If the facts of the case substantially favor your position, your chances of obtaining either a settlement loan or lawsuit funding are extremely high!
Do you think a lawsuit settlement loan is right for you? Would you like to learn more about lawsuit funding? Please visit us today and you may apply online for lawsuit funding and learn more about the benefits of lawsuit funding.
Tags: lawsuit funding, Lawsuit Loan, lawsuit loans, loans, settlement loan, settlement loans
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