A car accident settlement could come in handy if your settlement pays fast. But that’s not always the case – you could potentially be waiting months or years before you see your settlement money.
Bills and living expenses don’t know when to stop coming or piling up, not even when one is involved in a car accident. Unfortunately, car accidents can result in loss of wage or loss of employment, and this translates to a heap of bills and debts.
If you are struggling to pay your bills because your injuries are taking so much money from you, you may be asking yourself if you can take a loan on a car accident settlement. The good news is that you can. Don’t lose sleep over money pre-settlement loans for car accidents are available to qualifying motor vehicle accident victims.
Taking a cash advance on a pending car accident lawsuit or future jury award will help eligible personal injury claimants take low-rate loans to cushion the financial pressure of litigations, especially from protracted lawsuits. Even though pre-settlement funding (or pre-settlement loans) is not new around the block, many personal injury plaintiffs have yet to wrap their minds around it and how it works.
What is a car accident pre-settlement loan?
You can think of a pre-settlement loan for car accidents as non-recourse cash advances based on future compensation. Also known as lawsuit funding or pre-settlement funding, pre-settlement loans are free of risk, and they can serve as financial aid for injured plaintiffs when strapped for cash.
While personal injury victims can take loans from banks and other traditional lenders, they often come with high-interest rates and monthly payments. Since legal proceedings are almost impossible to predict, plaintiffs often get stuck with debts if they lose a case.
Thankfully, that’s not the case with pre-settlement funding. Thus, opting for settlement funding saves you the burden of repaying both the principal and interests if the car accident case doesn’t settle in your favor.
How does pre-settlement funding work?
If you are ever in need of fast lawsuit loans and are not sure how to get started, don’t worry because Baker Street Funding offers free consultations and quick case evaluations to determine whether your car accident case qualifies for settlement funding.
Here is how Baker Street Funding fast settlement loans work.
Before you get started, it is very important that your attorney consents on helping you out with the advance.
Then, all you need to do is fill out the application form online and let our team of experienced funding staff take it up from there. Once your pre-settlement funding application gets through to us, our dedicated team will contact your personal injury attorney for the case file and other relevant information about the claim.
Upon receiving your documentation, our underwriters will perform a 24-hour review. If the case checks all the boxes of merit, a contract will be formulated for you and your attorney to sign before your funds are released. The agreed loan amount will only be paid when the contract has been executed.
Baker Street Funding allows plaintiffs whose case qualifies for pre-settlement funding to take up to 10% of the pending car accident settlement value or between $1,500 and up to $2,000,000+ while the accident claim is still pending or has been settled and you are awaiting compensation.
While other lenders can offer you a cash advance on your settlement at compounding rates that can climb up to 200% a year, Baker Street Funding’s pre-settlement funding rate is fixed starting at 24% for attorneys up to 41% a year for plaintiffs, averaging at 36% a year for strong personal injury cases.
However, you can get more than 10% of the loan on the potential car accident settlement proceeds if you require multiple surgeries to treat your injuries. While you are at it, you must ensure that the other party (whom you are suing) has insurance coverage and you have an attorney representing your case on contingency.
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