Lawsuit Loan Benefits

Lawsuit Loan BenefitsAs you research lawsuit loans youíll slowly start to realize there are several benefits that may entice you. Stepping away from the benefits for a second itís important that you learn about the costs of a lawsuit loan so you can weigh the pros and cons together. This guide is designed to educate you on the benefits of a lawsuit loan and how it can benefit you during your financial troubles. Remember, a lawsuit settlement loan is only available to someone with a pending civil lawsuit.

Helping Families with Lawsuit LoansBelow youíll find a list of the most important benefits of a lawsuit loan. We suggest that you review each item and learn more about it. Remember, some of these benefits create a large risk for the lender and can result in not so beneficial costs to the borrower. We want to make sure that you realize that along with the below pros there are also cons to lawsuit loans. We also have a guide on the ďlawsuit loan processĒ that you might find useful.

Credit history and score donít matter

The information and data used to determine if you can get a lawsuit loan is based solely on the merit of your case. A bad credit history, foreclosure or repossession will have no effect on your chances of getting a lawsuit settlement loan. You donít even need any employment history or minimum income levels. Itís very common for someone in a lawsuit to have financial stress; this is especially true when the case involves wrongful death or is related to preventing the plaintiff from working.

Lawsuit Loans - No Credit CheckYou can rest assure that the only thing that affects your lawsuit loan is how strong your case is. However, just because itís obvious youíll win your case it doesnít mean you can borrow a lot of money. It will also depend on how much monetary awards you could win, what you must pay your attorney and/or healthcare costs.

You donít win then you donít pay

This is the best part of a lawsuit loan; if you donít win, you donít pay! Yes, you read that correctly, if you for some unfortunate reason you lose your case you donít have to worry about paying back the loan. This is because a lawsuit loan is a non-recourse loan, meaning there is no recourse if they canít follow through with the lien!

No Win, No Pay Lawsuit LoansThis is the single most important benefit of a lawsuit loan, but itís important to still look for the costs of a lawsuit loan so you have an idea how much you would pay if you do win your case. Remember, with a loan that compounds monthly youíll want a lower principle and shorter term; that is the most effective way to save money with a lawsuit settlement loan.

No monthly payments to the lender

When you borrow money from a lender such as a bank you need to make monthly payments to pay back your loan. With a lawsuit loan there are no monthly payments, you only pay back the loan if your win your case. If you do win your case your attorney will distribute the portion that is owed to the lender after they receive the settlement funds.

No Monthly Payments With Lawsuit LoansThis makes sure your loan is paid back promptly and on time. By not having monthly payments you donít have to worry about defaulting on your loan or getting a penalty interest rate. Some lenders will let you make payments against the loan to lower the principle amount and pay less in interest. Talk with your lawsuit settlement loan lender to see if this is something that they do.

No restrictions on how the money is spent

When youíre approved for a lawsuit loan and you receive your funds you are free to spend it however you see fit. You donít need to worry about keeping a spending log or talking with a loan officer to draw from your loan. Once you receive the money you can use it for whatever you want. The funds are a great way to pay for monthly living expenses and take care of building healthcare debt. However, if you decide you want to take a vacation or buy a new car youíre free to do so.

Remember, this is a loan based on your future monetary award for your lawsuit. If you win your lawsuit youíll need to pay back the balance in full, plus fees and interest. Just because you can spend your money on whatever you want doesnít mean you should. We suggest that you use it wisely to cover the costs of living and cover any debts you might have.