Knowing that you’re going to be receiving money from a court settlement can be a great relief after a lengthy legal battle, but if you are in need of pre-settlement funding to pay utilities, mortgage payments, medical bills, or other expenses, you might find yourself short on money. This can be an especially trying situation if you’ve been in court seeking an insurance or injury settlement and are unable to work at all; you may not have income and could also be facing rather severe medical bills as a result of being injured. Fortunately, there are a number of lenders who specialize in offering pre-settlement funding to individuals in the exact same situation as you.
Getting pre-settlement funding can actually be easier than receiving other types of loans since the form of collateral used to guarantee repayment is different. With a mortgage or other standard loan, the collateral necessary is a typically physical object with a value that must be determined as tantamount before the loan can be processed. With a litigation loan, the collateral is the estimated amount of the settlement you will receive, which has a fixed value by its very nature. This means that lenders who offer these loans can process the loans quickly and efficiently, getting you the money you need when you need it.
The money you borrow with pre-settlement funding can be used for a number of purposes. Most borrowers use the money to help cover bills and expenses while they are unable to work because of injury or time spent in the courtroom. Your pre-settlement funding loan can also be used to help pay down or pay off a mortgage to ensure that you won’t lose your home. It can be used to make modifications to your car or other vehicle to make it easier to get into and out of if you’ve been injured. You may even decide to use the money to buy a new vehicle altogether that will already come with the necessary modifications to make traveling possible.
Once your court case has been settled and you’ve started receiving the payments from your settlement, repaying the funding loan is easy, and with Addison PSF, your current attorney will take care of paying this off for you. You will have a source of income that is more than sufficient to both repay the loan and any interest that has accrued, so you likely won’t have to pay anything out-of-pocket. Since the money that you borrowed probably won’t be for the entire amount of your settlement, you should even have money left over once the pre-settlement funding loan has been repaid. In the improbable event you lose in your court case, most lenders who offer loans offer the stipulation that you will not have to repay the money you borrowed if you don’t win the case, Addison is one of them that doesn't require repayment! This ensures that you won’t be left with the additional expense of the loan if you don’t receive your settlement.