Saturday, January 15, 2011

Lawsuit Funding Tips For Those Considering Lawsuit Financing and Funding

1. Lawsuit Funding- should be a last resort- Try all other funding options such as banks, credit cards, family friends, because if available, funding from these sources would likely be less, even though obtaining a non- recourse advance from a Lawsuit Funding Source is not a loan. With a traditional loan source, you will always have to begin making monthly installment payments right away and if you lose your case and receive no cash award you are still liable to repay that loan. If you have exhausted all other funding options and you are willing to receive an advance now in exchange for a portion of the proceeds from your lawsuit only than should you consider Lawsuit Funding.

2. Speak to your attorney -Before applying advise your attorney of your financial situation and your need for lawsuit funding. In order for your case to be considered for Lawsuit Funding certain information which usually your attorney only has will need to be released to the Lawsuit Funding Company. Information usually requested other than a copy of the complaint, and court rulings would be anything which supports your claims such as medical, surgical reports, expert reports, incident reports, witness statements etc. If your attorney is advised by you in advance they are more likely to provide this information promptly when it is requested.

3. When looking for lawsuit companies watch out for any lawsuit funding company which asks for money upfront and or wants to offer you something that seems too good to be true. Since you're the one in need you should not have to pay any money upfront to have your case evaluated. If someone is insisting for money upfront they are probably more concerned about lining their own pockets and not your immediate needs.

4.When you decide to apply consider only using one source- Applying with more than one company can be time consuming for you and your attorney. When you apply for lawsuit funding your attorney is subsequently contacted by each and every funding company you have applied with all of which will be requesting basically the same information. This can create a tremendous burden on the law office that is representing you. If you apply with one source such as Lawsuit Funding Network which works with a network of funders your attorney will only need to provide the information once. Lawsuit Funding Network in return streamlines the funding process by getting that information out to multiple sources giving you the best chance of getting funded with the most reasonable terms.

5. Explain your needs to your funding consultant- It is important that you let your consultant know what your immediate financial needs are. If a consultant knows truly what you need or are going to need. Your initial funding could be pre approved for additional funds if your case qualifies which would streamline any additional funding requests. Often times a plaintiff who receives an initial non-recourse advance often times needs additional funding. If you are unaware of the investor's commitment to you in advance you may have to start the whole application process all over again if you need more money.Read more articles on lawsuit funding.

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