If you’ve been injured in an accident, you may be entitled to a financial settlement. This is money that is paid to the victim by the person or company responsible for the injury. However, waiting for a settlement can be difficult, especially if you are struggling financially while you wait. That’s where pre-settlement funding comes in.
Pre-settlement funding is a type of loan that gives plaintiffs access to money before their case settles. It can help them pay their bills and get back on their feet while they wait for their settlement money. In this blog post, we will discuss what pre-settlement funding is and how it can help personal injury victims get through a tough time.
How personal injuries affect the victims
Personal injuries are physical or psychological injuries caused by the careless, reckless, or intentional actions of another. These types of accidents can include car accidents, slips and falls, defective products, medical malpractice, and more. A personal injury can have serious consequences for victims that can cause physical pain, emotional distress, financial hardship, and even long-term disability.
Here are five ways a personal injury can affect the victim:
1. Physical pain – Victims may experience ongoing pain due to their injury that requires ongoing medical treatment and medication.
2. Emotional trauma – Victims may experience mental health issues such as depression and anxiety due to their accidents.
3. Financial burden – Victims may face high out-of-pocket medical costs and lost wages due to their injuries.
4. Loss of independence – Victims may be unable to work or participate in activities as they were before the accident.
5. Long-term disability – In some cases, victims may suffer long-term disabilities such as paralysis that can significantly reduce their quality of life.
Differences between pre-settlement funding and bank loans
Now that we have discussed what personal injuries are, let us discuss pre-settlement funding and how it can help victims who are waiting for a settlement. Pre-settlement funding is a type of loan that gives plaintiffs access to money before their case settles. This money can be used to pay bills, cover living expenses, and get back on their feet while they wait for their settlement money.
Here are five key differences between pre-settlement funding and bank loans:
1. Pre-settlement funding is non-recourse, meaning the borrower is not responsible for paying back the loan if they lose their case. Bank loans, on the other hand, must be paid back in full regardless of the outcome of a case.
2. Pre-settlement funding can be used quickly and easily without a credit check or any other requirement typically associated with bank loans.
3. Pre-settlement funding does not require regular payments as bank loans do; instead, it is repaid at one time when the case settles.
4. Pre-settlement funding fees are based on a percentage of the settlement amount, whereas bank loans typically require interest payments.
5. Pre-settlement funding does not affect the borrower’s credit score like a bank loan would.
Contact us today to apply over the phone
Pre-settlement funding is an invaluable resource for personal injury victims who need financial help while they wait for their settlement money. If you have been injured and are in need of funds while you wait for your settlement, contact Certified Legal Funding today to get started. We can provide you with the cash you need to regain your financial freedom and get back on your feet.