Pre-settlement Funding vs. Personal Loan

Pre-Settlement Lawsuit Funding for Cases Near Chicago, IL and Nationwide

Posted: July 27, 2020
Woman with hands on head, wondering how she will pay for all of her bills

A personal loan can provide you with needed cash quickly. Fairly easy to obtain, even with damaged credit, the APR for personal loans can range from 3.99% to 36%. The rate you secure will be based on your credit history, current income, and other factors.

As of this writing, July 27th, 2020, the average APR for a personal loan is 9.41%.

With pre-settlement funding, you draw against your assumed settlement, even if your case could take several more months. For a flat fee, you can access funds that have yet to be secured for assistance with medical bills, food and housing, and other expenses that may be difficult to meet during your trial.

Your qualifications for pre-settlement financing are not dependent on your current salary or credit score, but rather on the projected worth of your settlement. If you do not win your case, you are not responsible for paying the loan back.

A Look at Costs

Pre-settlement funding is often the best bet for victims of serious injury due to cost alone. For example, taking the average APR of 9.41% on a loan of $50,000, paid off over a five year period, and you will have paid $23,525 in interest alone. Of course, you may be able to pay the loan off more quickly once your settlement is received, but how much of your settlement do you want to use for interest?

And remember: you will be held liable for the entire amount of your personal loan, irrespective of the outcome of your case.

Pre-settlement financing from Legal Capital Corp. is free of compound interest. There are no application fees and you are not liable for your loan if you do not win your case. Up-front, honest, and simple, our flat-fee structure allows victims of serious injury to get the help they need without having to worry about how to pay it back.

If you find yourself in need of pre-settlement financing, now is a good time to call Legal Capital Corp. to discuss your options. Please call 312-204-7939 to speak with us right away. Your consultation is free of both risk and obligation. Call today to learn how we can help.