When you’re injured and unable to work, mounting bills can quickly become overwhelming. Medical expenses pile up while your income drops, creating significant financial stress during your recovery.
Pre-settlement funding offers a solution for victims awaiting their settlements. Car accident lawsuit funding and other types of legal funding can provide crucial financial support during this challenging time. In this guide, Apex Legal Funding, LLC, will explain pre-settlement funding and how it can help support you through your legal journey.
What Is Personal Injury Lawsuit Funding?
According to the Bureau of Labor Statistics, over 2.8 million nonfatal workplace injuries occurred in 2022. Over five million people were injured in motor vehicle accidents that same year. Personal injury claims are an unfortunate reality for many workers, causing them to face extended periods without income while pursuing legal action.
Pre-settlement funding provides financial assistance to plaintiffs while their legal case is pending. You usually do not need to pay back the advance unless your case wins. This type of funding acts as a cash advance against your future settlement, helping you bridge the financial gap until your case is resolved.
What Can You Pay for With Pre-Settlement Accident Lawsuit Funding?
Pre-settlement funding helps cover various expenses throughout the settlement process. Basic living expenses comprise a significant portion of what plaintiffs need assistance with while recovering.
Legal Costs
Legal proceedings often require significant upfront expenses that many plaintiffs find challenging to afford. Your funding can help cover the following litigation costs:
- Court filing fees
- Witness fees
- Document preparation
- Transportation to legal appointments
Medical Bills
Medical expenses often represent your primary financial burden during recovery. On average, non-fatal injuries treated in the emergency room cost over $6,600, and this does not include future expenses for surgeries, treatments, exams, etc.
Even with health insurance, copayments and deductibles for ongoing treatment can quickly become overwhelming. Regular physical therapy sessions, prescription medications, and medical equipment all contribute to mounting healthcare costs.
Your funding can help pay for:
- Ongoing medical treatment
- Physical therapy
- Prescription medications
- Medical equipment
Financial constraints shouldn’t compromise your recovery. Access to proper medical care not only supports your recovery but also helps document the extent of your injuries for your legal case.
Out-of-Work Living Expenses
Being unable to work creates immediate financial pressure on your household. Monthly bills continue arriving while your regular income has stopped, forcing difficult decisions about which expenses to prioritize. Essential costs like housing payments and utilities cannot be postponed without risking serious consequences.
Daily living expenses include necessities you cannot simply eliminate from your budget. Groceries, transportation costs for medical appointments, and insurance premiums must be maintained even when income is interrupted. These ongoing expenses can quickly deplete savings and create lasting financial hardship during recovery.
The National Safety Council reports that the average workplace injury leads to 10 days of lost work time. Your funding can cover essential expenses like:
- Rent or mortgage payments
- Utility bills
- Groceries
- Transportation costs
- Insurance premiums
- And more
The Benefits of Using Pre-Settlement Funding To Pay for Living Expenses
Understanding the advantages of pre-settlement funding helps you make informed decisions about your financial options. You can enjoy:
No Payback Obligations Unless You Win
This non-recourse funding means you only repay if your case succeeds. If you don’t win your case, you owe nothing. Unlike bank loans or credit cards that require repayment regardless of your circumstances, pre-settlement funding aligns with your case outcome.
Instant Cash To Cover Your Needs
Once approved, funds become available quickly, helping you address immediate financial needs. Many plaintiffs face urgent expenses that cannot wait for their case to settle, making rapid access to funding crucial. The streamlined approval process means you can typically access funds within 24 to 48 hours of application approval.
No High Rates
Pre-settlement funding typically offers competitive rates that cannot be compared to traditional loans. The funding structure considers the unique nature of legal cases and aims to preserve the value of your potential settlement. Pre-settlement funding rates remain transparent and straightforward, unlike payday loans or high-interest credit cards that compound debt over time.
No Hard Credit Checks
Your credit score doesn’t impact approval since funding depends on case merit. This focus on your case rather than your credit history makes funding accessible even if past financial challenges have affected your credit score. The approval process evaluates the strength of your legal claim, your attorney’s assessment, and the potential settlement value.
Necessary Litigation Support
Funding allows you to pursue your case without financial pressure to settle early. Many defendants and insurance companies rely on financial pressure to force fast, unfavorable settlements from plaintiffs struggling with expenses. With pre-settlement funding, you gain the financial stability to wait for a fair settlement offer.
Qualifications for Pre-Settlement Lawsuit Funding
Pre-settlement funding companies evaluate several key factors to determine eligibility and funding amounts. Your case’s strength and potential settlement value play central roles in the approval decision.
Several factors determine your eligibility for legal funding:
- An active lawsuit or legal claim
- Legal representation
- Clear liability in your case
- Sufficient potential settlement value
- Age requirements (18+ in many states)
Your Path to Financial Relief With Apex Legal Funding
Pre-settlement funding provides essential support when you need it. We understand the financial challenges you face during litigation, which is why we offer transparent funding solutions.
Learn more about reasons to consider a cash advance for personal injury. Our team at Apex Legal Funding, LLC, stands ready to assist plaintiffs in Rockville Centre, New York. Call (800) 377-4934 to discuss your funding options, or apply online today for pre-settlement funding.
FAQs About Legal Funding
How Long Does the Application Process Take?
The application review typically concludes within 24 to 48 hours after submitting the required documentation.
What Documents Do I Need To Apply?
You’ll need to provide your case details, attorney information, and relevant medical documentation to apply for lawsuit loans.
What Makes Pre-Settlement Funding Different From Traditional Loans?
Pre-settlement funding operates as a non-recourse type of cash advance, so you only need to repay your settlement proceeds if you win and your case pays out.
