Receive a Risk-Free Car Accident Lawsuit Loan through Direct Legal Funding
When someone is injured in a car accident, it can turn their whole world upside down. Things come at you from all sides. Medical bills pile up, and you may no longer be able to work to pay those bills let alone maintain the finances in your household.
On top of everything else, the excruciating pain that someone suffers after a major injury can make it nearly impossible to think about anything else while the pain is ongoing.
If you suffered a moderate to severe injury from an auto accident, you should be working with a skilled personal injury attorney. Unfortunately, claims can take several months or longer to resolve, and insurance companies do not make things any easier. They will have to drag the process out unnecessarily just to try to frustrate car accident injury victims into giving up and accepting a lowball settlement offer. They know that you need the money, and they will try to use that to their advantage during settlement talks.
Obtaining a non-recourse car accident loan helps level the playing field for vehicle accident victims. Pre-settlement loans provide victims with the funds they need to tie them over until their case is resolved. This allows the attorney time to build the strongest possible case, negotiate for full and fair compensation, and take the case to trial when necessary if the insurance company is not willing to be reasonable.
Then, you can have peace of mind knowing that you can afford to wait for your attorney to get you the best settlement. This allows you to focus on what is most important at the moment, recovering from your injuries and getting your life back on track.
And at Direct Legal Funding, we make the process as smooth and seamless as possible.
Contact us today to get started on your car accident lawsuit loan or to discuss whether a pre-settlement loan is the right option for you.
What is a Car Accident Settlement Loan?
A car accident lawsuit loan is a type of financing that is provided to plaintiffs in auto accident lawsuits before their cases have been settled or resolved in court. The funding is intended to help plaintiffs pay for living expenses and other costs that may arise as a result of their injuries.
These cash advances are typically provided by specialized financing companies and are paid back to the lender out of the proceeds of the plaintiff’s settlement or judgment.
There are a number of factors that can influence the availability and terms, including the strength of the plaintiff’s case and the amount of the potential settlement or judgment. It’s important to carefully consider the terms of any agreement and to understand the potential risks and benefits before applying.
What is the Difference Between a Car Accident Cash Advance and a Traditional Loan?
There are several differences between these two types of loans. Cash advances are paid back to the lender out of the proceeds of the plaintiff’s settlement or judgment. These loans are “non-recourse”, meaning that they are only paid back if the plaintiff secures compensation from their accident through a settlement or judgment.
Traditional loans, on the other hand, are financial products that are typically provided by banks, credit unions, and other financial institutions to borrowers for a variety of purposes. Traditional loans are often secured by collateral, such as a car or a house, and are repaid over a fixed period of time with interest.
Some of the key differences between these two services include:
- Availability: Pre-settlement loans are not available to everyone, as they are only offered to plaintiffs in ongoing lawsuits. Traditional loans, on the other hand, are available to a wider range of borrowers.
- Risk: Car accident pre-settlement funding is a higher-risk product for the lender as there is no guarantee that the plaintiff will win their case and receive a settlement or judgment. Traditional loans are typically a much lower risk for the lender, particularly those that are secured by collateral.
What is the Cost of a Car Accident Lawsuit Loan?
The cost of a lawsuit cash advance can vary depending on a number of factors, including the lender, the amount of the loan, and the terms of the loan agreement. In general, pre-settlement lawsuit loans are more expensive than traditional loans because they are non-recourse loans, which means the lender is taking on a significantly higher risk than with a traditional loan.
Lenders typically charge higher interest rates to compensate for the increased risk. Direct Legal Funding provides some of the most competitive rates in the industry.
On a related note, plaintiffs who receive them very often recover far more compensation from their lawsuit than those who do not. This is because their attorneys are able to negotiate from a position of strength knowing that their client is no longer in a rush to settle. This gives plaintiffs the funds they need to get them through until the case is resolved.
How Can a Car Accident Settlement Loan Help My Legal Case?
Many plaintiffs who are injured in car accidents do not have anyone to turn to for financial help. By law, attorneys are not allowed to lend their clients money, and if you do not have the collateral to get a traditional loan from a bank or family/friends who can lend you the money, this may be the best option to resolve your financial dilemma.
The fact is that many plaintiffs simply cannot afford to wait several months or longer to get their settlement money. A cash advance can be approved and funded within a matter of hours to help bridge that financial gap.
With the funds securely in your bank account, you can relax and let your attorney perform their full due diligence and put together a rock-solid case that is designed to get you maximum compensation. Having this advanced funding also gives your attorney more flexibility to litigate the case if it comes to that.
Although civil litigation is notoriously unpredictable, juries are typically more sympathetic to car accident victims and they have been known to award large verdicts – in some cases far beyond what the plaintiff was asking for during settlement negotiations.
What are the Requirements to Qualify for a Car Accident Settlement Loan?
There are only a couple of simple requirements that plaintiffs need to fulfill in order to qualify for a car accident lawsuit loan. First of all, you must be currently involved in a personal injury claim. And secondly, you need to be working with an attorney. There are no credit checks, and there is no collateral required to secure pre-settlement funding.
It is important to note that you cannot qualify for an auto accident loan if you are not working with an attorney. Remember that this is a “non-recourse” loan, which means that the lender will not get paid back unless you win your case. For this reason, the lender needs to speak with your attorney and review the details of your case to ensure that the loan is worth the risk.
How Much Money Can I Borrow Through a Car Accident Lawsuit Loan?
While terms and conditions vary based on the specific lender, most lenders typically allow plaintiffs to receive a cash advance of up to 10% of the value of their case. For example, let’s say the driver that caused your injuries had car accident liability coverage of up to $100,000 per person and up to $300,000 per accident.
In this scenario, if you were the only one who was injured, you can realistically expect to recover as much as $300,000 from the defendant’s insurance company for your injuries. If your losses exceed that amount, you would need to go after the defendant’s personal assets to recover additional compensation.
In this case, if your attorney verifies that your claim is worth $300,000, you may be able to borrow up to $30,000 through a lawsuit cash advance. This is just an example and the amount that you are able to borrow will of course depend on the specifics of your case.
Are There Any Restrictions on How I Am Allowed to Use the Proceeds from my Car Accident Loan?
No. You can use the proceeds in any way you desire. For example, you can use the money to catch up on rent or mortgage payments, take care of your medical bills, repair damaged property, or just cover some of your daily living expenses while you are out of work.
What Happens if I Receive a Pre-Settlement Car Accident Loan and I Do Not Win my Case?
As we’ve talked about earlier, auto accident lawsuit loans are non-recourse. This means that if you are approved and funded, and you lose your case, you are not required to pay any of the money back. The lender is taking on all of the risk, and you have no need to worry about making payments on the loan until the proceeds from your settlement or judgment come in.
What Types of Auto Accidents Qualify for a Car Accident Lawsuit Loan?
You can receive a lawsuit cash advance for injuries from any traffic-related accident or other type of personal injury lawsuit. Again, all that is required is that you currently have a claim ongoing and that you are working with an attorney.
Some of the most common types of personal injury cases in which plaintiffs obtain lawsuit settlement loans include:
How Long Does It Take for a Car Accident Case to Settle?
The length of time it takes for a car accident case to settle can vary significantly. In some cases, a settlement may be reached relatively quickly, while in other cases, it may take much longer to resolve the case.
Factors that can affect the length of time it takes to settle a car accident case include the complexity of the case, the severity of the injuries sustained, the amount of insurance coverage available, and the willingness of the parties to negotiate a settlement. In general, it is important to be patient and allow sufficient time for a settlement to be reached as rushing to settle a case may result in an agreement that does not fully compensate the victim for their losses.
As we talked about earlier, this is one of the major benefits of obtaining a car accident loan. With a pre-settlement lawsuit loan, plaintiffs do not have to be in a big rush to settle their case. They can afford to give their attorney the necessary time to bring their case to a successful conclusion.
What Types of Damages Can I Recover Through a Car Accident Lawsuit?
Loans can be obtained in advance for a number of different types of damages that your attorney may be seeking to recover for you in your lawsuit. These damages can be grouped into two main categories: economic damages and non-economic damages.
Economic damages are damages that are based on actual financial losses that you have incurred as a result of the accident. Examples include:
- Medical expenses (e.g., the cost of hospitalization, surgery, rehabilitation, etc.)
- Lost wages (if you were unable to work due to your injuries)
- Property damage (e.g., the cost of repairing or replacing your vehicle)
Non-economic damages are damages that are not directly tied to financial losses. These damages are designed to compensate you for the non-monetary aspects of your injury, such as the pain and suffering you experienced as a result of the accident. Examples of non-economic damages include:
- Pain and suffering
- Emotional distress
- Loss of enjoyment of life
- Loss of consortium (the loss of companionship or support from a spouse or family member)
In some cases, you may also be able to recover punitive damages. These damages are intended to punish the defendant for particularly reckless or negligent behavior and are typically only awarded in cases where the defendant’s conduct was especially egregious.
Can I Apply for a Wrongful Death Car Accident Loan If My Loved One Was Killed in an Auto Accident?
Yes! If someone close to you was killed in a car crash and you have retained an attorney to pursue damages through a wrongful death claim, you may apply for a lawsuit cash advance to get some of your settlement money upfront.
The same general terms and conditions apply to wrongful death settlement loans; they are nonrecourse and there are no credit checks involved in the application process. The lender just needs to verify information from your attorney about your case to determine if the funding can be approved.
How Long Will It Take to Receive the Funds from my Car Accident Loan?
You do not have to wait several days or even weeks to get your money like would typically happen with a traditional loan. Once you have applied and we are able to speak with your attorney, your car accident cash advance can be approved and funded within hours.
Steps to Apply for a Car Accident Settlement Loan
At Direct Legal Funding, we make the pre-settlement funding application process as smooth and seamless as possible. There are just a few easy steps:
- Call us today at 866-941-5588 or apply online with no credit check.
- We will contact your attorney to discuss your claim.
- Once your car accident loan is approved, we will send you the funds.
If you have any further questions about car accident lawsuit loans or to begin the application process, contact us today. We are ready to help get you the funds you need to see you through these difficult financial times.
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