A lawsuit settlement loan is used by people who need cash in advance for a pending settlement award or lawsuit judgment. The borrower can pay back once the funds from the settlement are paid. Meaning, if you are someone who’s waiting for class-action payments, a lawsuit settlement loan can be your solution to solve your financial woes right away. Normally, this type of loan has accrued interest rates – sometimes high, depending on the outstanding loan.
So even if a lawsuit settlement loan seems like a refuge for a lot of people, the interest rates of it can skyrocket and it can eat up a lot of the settlement funds. Indeed, this loan can relieve the financial pressures off of you and prioritize your needs without waiting on the settlement proceeds. But as there are more advantages it can give, there are disadvantages that needs to be taken into account too.
Pros of Lawsuit Settlement Loan
- Provides a breathing space in financial needs – The primary aim of settlement loans is to give you quick access to a cash advance so you’ll have an immediate solution for your necessities. This is in particular to victims who face tremendous expenses due to the accident that just happened.
- No repayment until settlement suit is established – There are lots of lenders that provide settlement loans and you can repay it after the lawsuit concludes in your favor.
- Gives a longer lawyer time to maximize the funds – Aside from taking off the financial pressure and accepting money less than the full value of the damages, a lawsuit settlement loans can give you a cash advance while you and your lawyer wait for the insurance company to come up with a greater offer.
Cons of Lawsuit Settlement Loan
- Interest rates cause it to be expensive – As discussed earlier, the interest rates of settlement loans can take up a large chunk of your proceeds. Remember, the lending company makes a profit out of your money from the proceeds – so it’s better to find a good deal or consult with your lawyer.
- Some cases are not qualified – Hard as you may think, there are some cases that don’t qualify to get a lawsuit settlement loan. Lending companies are often picky and don’t want to take risks to the cases that they believe won’t win in court.
Luckily, there are Calgary lawsuit settlement loans that accept a variety of cases that can be covered by settlement loans. Some of which are; dog bites, motor vehicle accidents, sexual abuse, estate and inheritance, personal injuries, and more. It’s also recognized for the quick approval process it offers and doesn’t compromise your credit score. The most important part is they offer the lowest borrowing costs in the country.
So if you have an ongoing lawsuit and needed money to cover financial basics, apply for a lawsuit settlement loan. Keep in mind that managing pending expenses and recovering from the financial burden caused by the accident doesn’t have to be as hard as it may be. With lawsuit settlement loans, get cash in advance while waiting for the disbursement of your lawsuit!
