Yes, you can obtain a settlement loan even if you have a low income and minimal assets.
Also known as lawsuit loans or pre-settlement funding, it is designed to provide financial assistance based on the strength of your legal case, not your finances. This means that regardless of your income or assets, you can access funds to help cover essential expenses while you await the resolution of your lawsuit.
Can You Get a Settlement Loan with Low Income and Assets?
The short answer is yes! They are designed to help plaintiffs cover their expenses while waiting for their case to settle or reach a verdict. Lenders understand that many plaintiffs are in a difficult financial position due to their injuries or circumstances surrounding their case. As a result, they focus on the strength of your case rather than your personal finances when determining your eligibility.
Eligibility Criteria for Settlement Loans
To be eligible, you must have a pending lawsuit with a high likelihood of success. This is all the matters. Lenders will evaluate your case based on factors such as:
- The strength of your evidence
- The severity of your injuries
- The likelihood of a favorable settlement or verdict
- The expected value of your settlement or award
Your personal financial situation, including your income and assets, is not a factor in determining your eligibility for a case loan. Lenders are more concerned with the merits of your case and the likelihood of a successful outcome.
Role of Income in Settlement Loan Approval
Unlike traditional loans, your income does not play a significant role in the approval process for a pre-settlement funding. Lenders understand that many plaintiffs may be unable to work due to their injuries or may have lost their jobs as a result of their case. As a result, they don’t require proof of income or employment when evaluating your application.
This is a significant advantage for plaintiffs with low income, as they may need help to qualify for traditional loans or lines of credit. The Bureau of Labor Statistics reports that 83 percent of full-time workers who were still poor faced at least one major job issue. Low pay was the biggest problem, affecting 61 percent of these workers.
Unemployment was a major issue for 43 percent, up 16.6 percent from the previous year due to the COVID-19 pandemic. With a pre-settlement funding, you can access the financial support you need without having to worry about your income level.
Impact of Assets on Settlement Loan Decisions
Similarly, your assets are not typically considered when applying for a pre-settlement funding. Lenders are more interested in the strength of your case and the likelihood of a successful outcome than your personal financial situation. This means that even if you have limited assets, you can still qualify for a pre-settlement lawsuit funding if your case has merit.
Applying for a Settlement Loan with Low Income and Assets
If you’re considering applying for a case loan but are concerned about your low income and assets, it’s important to understand that pre-settlement funding is designed to provide financial assistance to individuals involved in a legal dispute, regardless of their financial situation. Here’s what you need to know about applying for a case loan with low income and assets.
Application Steps
The application is a straightforward process that typically involves the following steps:
- Contact a lawsuit funding provider and provide basic information about your case.
- The lender will review your case and determine your eligibility for a loan.
- If approved, the lender will offer you a loan amount and terms.
- If you accept the offer, the lender will work with your attorney to finalize the loan agreement and disburse the funds.
The entire process can often be completed in a matter of days, providing you with quick access to the financial support you need.
Benefits of Settlement Loans for Low-Income Individuals
Case loans can offer essential financial assistance to low-income individuals facing financial challenges while awaiting legal settlements. Here are the advantages:
Covering Essential Expenses During the Legal Process
One of the primary benefits of case loans for low-income individuals is the ability to cover essential expenses while your case is pending. This can include things like:
- Medical bills related to your injuries
- Rent or mortgage payments
- Groceries and other necessary living expenses
By providing access to funding when you need it most, case loans can help alleviate financial stress and allow you to focus on your recovery and legal case.
Leveling the Playing Field
Another significant benefit of pre-settlement loans is their ability to level the playing field in legal disputes. When you’re up against a well-funded defendant, such as a large corporation or insurance company, they may try to drag out the lawsuit in an attempt to force you to settle for less than you deserve. With a legal funding loan, you can have the financial resources necessary to stand your ground and fight for a fair settlement or verdict.
As a hypothetical example, let’s say you were injured in a car accident caused by a negligent driver. The driver’s insurance company offers you a low settlement that barely covers your medical bills, let alone your lost wages and other damages. Without a legal funding loan, you might feel pressured to accept the offer just to make ends meet. However, with a settlement funding, you can have the financial stability to reject the low offer and continue negotiating for a fair settlement that fully compensates you for your losses.
Takeaways and Next Steps
If you’re considering a case loan but have concerns about your low income and assets, remember that these factors do not impact your eligibility. Case loans are based on the strength of your case, not your personal finances. By working with a reputable lender and your attorney, you can access the financial support you need to pursue your case and achieve a fair outcome.
The loan representatives at Tribeca Lawsuit Loans can help guide you through the process and provide clear, transparent terms. Don’t hesitate to reach out and discuss your options – call 866-388-2288 today!
Frequently Asked Questions (FAQs)
Can I get a settlement loan if I’m unemployed?
Yes, your employment status does not affect your eligibility for the. Lenders focus on the merits of your case, not your personal financial situation.
How long does it take to receive funds?
The process can often be completed in a matter of days, providing you with quick access to the financial support you need.
Will I have to pay back if I lose my case?
No, they are non-recourse, meaning that if you lose your case, you don’t have to pay back the loan. This is one of the key advantages of pre-settlement loans over traditional loans.
Can I use the funds for anything I want?
While settlement loans are typically used to cover essential expenses like medical bills and living costs, you can use the funds for any purpose related to your case. However, it’s important to review the terms of your loan agreement to ensure there are no restrictions on how you can use the funds.