Life brings the unexpected, but a personal injury can seriously impact your health and finances. Litigation arising from your injuries can last years. As you pursue your claim, your goal is to collect any compensation entitled to you by the law. Remaining focused on that goal may be challenging as you face financial hardships from lack of income and growing medical bills.
NY Legal Funding offers financial solutions to plaintiffs in personal injury cases, which may help fill in monetary gaps until their claims are resolved during lengthy and complex litigation.
When you’re in the middle of a personal injury case, you may be naturally hesitant to take on more debt. This is understandable. Like many other plaintiffs, you could be dealing with past due mortgage and rent payments along with medical, utility, auto loan, and other types of bills. There are other expenses to consider like groceries, childcare, educational costs, and basic necessities such as clothing and household supplies. If your case is taking a long time to close or settle, you could need third-party funding to cover your costs.
Traditional lenders examine credit scores and income when evaluating loan applications. Yet lawsuit funding is a different type of financial product. As a litigation funding firm, we consider different factors — namely the strength and merit of an applicant’s case. If we approve a funding request, we can lend up between 10% and 20% of the case’s expected settlement value.
Litigation financing is different in one other way: It’s non-recourse and risk-free. You only repay the loan to litigation finance firms from your final settlement. That means nothing is due until your case reaches a positive resolution, either with a verdict or your acceptance of a settlement offer. If you don’t prevail with your personal injury claim, you do not have to pay the loan back. This funding also comes with low-interest rates, requires no collateral, and has no upfront or out-of-pocket costs.
The International Legal Finance Association (ILFA) sets best practices and standards for litigation financing firms.
The litigation process in a personal injury claim can become a complex affair. It’s easy to become impatient or discouraged as your claim moves through its various stages. After you file your initial lawsuit, your attorney and the defendant’s attorney engage in the discovery process. This fact-finding stage is essential in establishing relevant facts, and that means uncovering critical evidence such as medical records and eyewitness depositions. This process can take up to six months or longer.
There’s a 90% chance that you’ll settle with the defendant out of court. Settlements aren’t inherently negative, as you avoid the additional time and litigation costs of going to court. This involves negotiation between your law firm and the defendant’s, which can add more time to the duration of your case. The lawyers make offers until they reach an agreement that you find acceptable.
Thus, time is a vital factor in the success of your case. You want to allow your claim to progress, reaching the most favorable outcome possible. During this period, personal injury lawsuit funding can cover critical living expenses. You avoid financial stress, which can affect your judgment and impact both your medical recovery and the decisions you make about your personal injury claim.
NY Legal Funding relies on a team of professionals to evaluate each plaintiff lawsuit financing request. We want to provide the best possible options, but we also work to provide money as quickly as possible to approved applicants. Our team examines each claim’s merits and consider a few important factors:
The damages a plaintiff seeks in a personal injury claim can include both quantifiable categories, such as lost wages, medical bills, and compensation for pain and suffering. Depending on the case, a defendant may argue that the plaintiff shared some liability in causing the tort. If there’s evidence to prove this assertion, it may reduce or completely negate any possibility of an award or settlement. Many states also set caps on how much plaintiffs can recover; a defendant’s minimum coverage limits often impact these caps.
When we analyze your case, we look at these three aspects. Funding offers that we make come from this analysis. Only then can we approve a funding request and know how much could be available to you in plaintiff lawsuit funding.
As a personal injury lawsuit plaintiff, you need to know your viable options. NY Legal Funding has the financial expertise to help you with funding solutions. This financing allows our clients to prioritize their health and continue with their claims. We offer free consultations at no legal risk to you and invite you to contact us today. Just complete our convenient online contact form to get started.