When accidents happen due to negligence of another individual or work institution, the involved parties are usually forced to ask for compensation. During this process of seeking settlement, you are likely to have many needs like payment of medical bills and self-care which require finances. Pre-settlement funding is the perfect solution for you in this case as you will have cash to cater for your needs before your settlement is approved and paid. This kind of funding is obtained from litigation finance companies. Getting pre-settlement funding can be beneficial in many different ways. This article outlines some of the many benefits that come along with getting pre-settlement funding.
First of all, pre-settlement funding has the benefit of not being asked to pay back the funds given to you unless your settlement is finalized and paid as well. Settlement money might be the only source you could be relying on to pay your pre-settlement loan and the fact that they are able to wait with you is very relieving. The litigation finance company also remains patient during the process even when your settlement case takes a long time.
Another good thing about pre-settlement funding is that you are allowed to use the funds to support your personal needs like food, rent, power as well as medical expenses. Some accidents can cause serious injuries which might not allow you to earn income through working. When this happens, catering for personal needs might be hard as you await the settlement and pre-settlement funding is able to cover all that.
With pre-settlement funding, you have the benefit of only paying back the funds when your settlement is successful. It can be very stressful if in the end your settlement is not paid and you still have to pay a pre-settlement loan. The good news is that; you are not liable to paying anything if your case is lost in which case you will have benefited more.
Lastly, pre-settlement funding can also save you from settling for a cheap settlement because of desperation. Some companies can take advantage of your broke situation and suggest a small offer but instantly and this can be hard to refuse. With pre-settlement funding available, you will not worry about making that mistake. Some of the benefits of pre-settlement funding are as illustrated above in this article.