What Does A Lawsuit Loan Company Ask Your Lawyer?
There are many lawsuit loan companies with different missions and principles as well as different ways and different types of loans. To select the right lawsuit loan company for yourself, you must know what information they may ask your lawyer and what information they need for approval. In terms of information, there is some that is a must for the lawsuit loan company to have and some that is absolutely not necessary for them to have. Having a lawyer will help in making sure none of the unnecessary information be shared. Some things are needed to get a loan, but some things absolutely are not.
What Information Is Needed For A No Risk Lawsuit Loan
Post-settlement loans are often considered being no risk as there is already an amount settled, but it may not have been paid yet or even for a while. These are considered no risk loans by the lawsuit loan company as you have an assured income coming in from that settlement with a clear amount. They will be more likely to lend in these cases as they can lend against that already settled loan. There are other no risk loans possible like those where the lawsuit is an assured win and the company lending the money knows this and is not afraid to do a loan at no cost to the person receiving the loan. Some may even do no risk loans where there is no risk to the person receiving the loan. Those are usually like the previous kinds where there is history if lawsuits being won by the peope bringing them on and thus re-payment is basically assured. Those no risk loans require very little information outside of what the lawsuit is and if your lawyer expects to win the lawsuit based on precedent and history.
So, the information requested in the case of a no risk lawsuit is the most basic: What is the lawsuit about, what are the precedents in the field, what are the chances of winning in court. All simple information, all easily obtain, most of it not giving away much about yourself.
What Information Is Needed For A Pre-Settlement Lawsuit Loan
Pre-settlement loans are a bit more involved as they have yet to be settled and thus come with more risks. Lawsuit loan companies loan money on these types of situation because they believe that either the case is basically a slam dunk, a for sure win, or they know that the person taking out the loan will be able to repay them even is they do not win. This means that these types of loans are more risky and the person taking them understands the risks going and understands that there will be a cost to this type of loan. Once that understanding is clear, there is an application process and there is a bit more information needed.
The information needed here include that same information as above and may include the following: Credit score or credit check approval, how much the requested makes per year, how much debt the requested already has, references for good credit.
What Information Is Needed For A Lawsuit Loan Against An Insurance Settlement
These cases of loans against insurance settlements are part of the easier kinds to get a loan for as there is already a figure that’s been agreed to be paid to the victim and thus it’s easy to know how much money will be coming in and when. Getting a loan like this is fairly simple and gives the person a chance to keep up with bills while the insurance takes their time to give the check to them. With larger sums, the checks can take a long while before they come after having been approved initially. The good part of these is that there aren’t always court cases and lawyer fees can be pretty low. These can come directly from an accident or from a litigation or mediation situation where court was avoided. While this is something where the money is coming for sure, when it will be coming is not always clear. This can lead to a need to get a loan in the time it takes to get the payment.
The information that the lawsuit loan company can require here are: The amount of the check that will be coming, when it is expected to arrive, if the payment will be done in more than one payment, a promise to payback in contract form, they may also require a credit check to be on the safe side, and some other information.
How To Decide What Information To Provide?
This is where you can know if you want to do business with a specific lawsuit loan company. Consider what information they are asking for and if you are comfortable giving it out. Case information may be limited to what is useful to them and what you are comfortable with. However, some of the information requested will be very important to get approved for the loan, so if more than one lawsuit loan company requests that information and you are not comfortable giving it out, refer to your lawyer and see what they think. They may side with the loan companies and be ok with you giving out that information. Your lawyer may even suggest you not give out some information you are comfortable giving out, so refer to them as much as you can. You are already paying them, so make the most of their knowledge and experience. Of course, some companies will ask for far too much and this should be a red flag to take your business somewhere else. Your lawyer should be able to help navigate this from start to finish.
When it comes to what kind of information a lawsuit loan company will request of you, there are as many answers as there are lawsuit loan companies, but in general, they mostly want to know what kind of lawsuit will the settlement be coming from, what kind of sum is being talked about, if it’s already been approved, and if not, what kind of credit record does the requester have. It’s all fairly simple even if it all can feel like it’s a bit much or like it’s invasive. It’s basic information, but it’s understandable that it can feel like they are putting their noses where they shouldn’t. Overall, a good lawyer can help navigate the process and decide which piece of information to give and which to withhold. They can also help stir you in the direction of better lawsuit loan companies when so many options are available.
Where To Start?
A great place to start and get your information is with Delta Settlement Funding.