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Arkansas Lawsuit Loans
When Arkansas residents first hear the term lawsuit loan, they may have the idea that it is a loan that needs to be repaid in the future. However, it is easier to understand the concept behind a lawsuit loan when it is referred to as legal funding. It is actually a lifeline that is designed to help a person get the financial help they need as they are going through litigation. It gives a person the help they need to get on their feet as they are recovering from an injury and waiting for their case to settle. It is unalike a loan in the sense that nothing needs to be repaid if they do not win their case.
There are a lot of different circumstances that would merit a person taking advantage of this type of legal funding. One example is if a person was injured in a car accident and is already in the process of going through court. A lawsuit loan could give this person the instant financial relief they need as their case is being resolved. It also would benefit a person who is going through a medical malpractice case or a personal injury case that is a result of poor conditions on someone’s property or a construction site.
In order for a person to receive a lawsuit loan, a case manager will look at the quality of their case. It needs to be clear that the case is valid and that there is a high chance of the person winning their case and receiving a settlement. A person must go through an application process before having money given to them.
The Benefits of Legal Funding
If you were recently injured in a car accident, you are dealing with many difficulties all at one time. You are injured, your car may be totaled, and you may not be able to go back to work. You need medical care in order to recover after your injury. You may even be dealing with a long term disability. All of this means expenses associated with medical care. While dealing with all of these things, you are dealing with legal expenses in order to get compensation from the individual who was responsible for your accident. Basically, money is just flying out of your bank account and very little is coming in.
Insurance companies understand the strain that a person is under after experiencing a personal injury. In many cases, insurance companies play a waiting game. They know that you are under stress and may be willing to settle your case for less than it is worth if they drag out the process.
A lawsuit loan can give you the money you need to take care of your financial needs. It puts you in a position of power. It lets you physically, mentally, and emotionally recover after your accident without worrying about how much everything is going to cost.
Many view legal funding as a way to bring justice to an unjust situation. Responsible parties and insurance companies will be held accountable for your injuries. It is one of the most helpful tools that you can use as you go through this difficult situation. And what many find to be the best part is that there is no risk involved.
How a Lawsuit Loan Works
As was mentioned, this is not really a loan. It is not like a loan that a person would get through a bank or other financial institution. A legal funding company purchases part of your future settlement and gives you the cash you need right now in order to cover basic expenses.
Legal funding basically puts a person in a win-win situation. If they win their case, the company that provided legal funding will get a portion of the settlement. The rest of it will go to the injured individual. If they do not win their case, they owe nothing to the company that provided the legal funding.
As soon as a person applies for a lawsuit loan, a case manager will collect personal information from the individual. They will get in touch with the individual’s lawyer in order to learn more about the case. The decision to provide legal funding is based on the quality of the person’s case.