What is a lawsuit cash advance? This is money given to a plaintiff in a lawsuit as a cash advance with an expectation that this money will be paid back to the lender when the plaintiff’s personal injury case settles. How is this possible? This is possible by means of using non-recourse funding. This is a form of financing that is used by many companies today and it provides little risk to the plaintiff. What the lender must be aware of is if this income is not sufficient to cover payments related to interest and principal, the lender will sustain a loss.
If the plaintiff wins his or her lawsuit, then they are only required to pay back the money that was borrowed and nothing else. If the plaintiff loses his or her case, they do not have to pay this money back. These lawsuit cash advances are used by people who have a huge amount of bills and not enough money coming in to pay these bills. This lawsuit cash advance can help you catch up with credit card payments, rent or mortgage payments. This cash advance allows you to buy more time during the litigation process which makes getting a lawsuit cash advance a great thing. It is always good for a plaintiff to think about what is being offered to them before making a hasty decision to accept a settlement.
Many insurance companies like to drag out personal injury cases to get the plaintiff to settle quickly for less money. The less money that they have to pay, the happier the insurance companies are. These insurance companies will do all that they can to get the plaintiff to take less money. This is why it is important for a lawsuit cash advance company to have an idea of what is at stake before vesting an interest in a plaintiff’s case. Many of these companies work directly with the plaintiff’s attorney so that the plaintiff can concentrate on their case. For anyone that is involved in a personal injury lawsuit and they are in need of money especially related to their personal injury, then a lawsuit cash advance might be something to consider.