“Should I settle my case early, or apply for a lawsuit advance?”
This is a common question plaintiffs ask when involved in litigation. Lawsuits can take years to settle, which is a long time to wait for an award that could cover lost wages, medical expenses, or even daily living expenses and bills. Even after a settlement has been reached, it can take months or years for plaintiffs to receive a monetary award.
Some plaintiffs opt for legal funding as a cash flow solution to keep them financially afloat while litigation is ongoing. Pre-settlement funding options can help plaintiffs get by during this time when their resources may be strained.
While legal funding can certainly be a valuable tool, it’s not always the best option. If you have access to more traditional forms of funding, such as a bank loan, we recommend exploring those options first. Additionally, legal funding is most appropriate for plaintiffs who are struggling to pay for basic expenses during ongoing litigation. Don’t accept more funding than you need to survive until your case settles to avoid paying excessive interest.
Use Our Lawsuit Funding Calculator to Better Advise Your Clients
To help attorneys better advise their clients about the value of legal funding, we’ve put together a lawsuit funding calculator tool so that they can determine whether a lawsuit advance is in their best interest for their specific situation. The calculator takes into account:
- If you could settle today, how much is your case worth? (Your attorney can help you calculate this amount)
- How much is your case worth once resolved?
- How many months do you anticipate until your case is resolved?
- How much financing do you need?
- Annual rate of return paid for financing (Thrivest offers competitive fees as low as 8 percent)
- Rate of attorney (Also known as attorneys’ fees. These should be spelled out in the retainer agreement)
Once you have entered the above information, the calculator will determine if you will will gain or lose money by taking legal funding.
We hope this tool helps you better advise your clients and assess whether non-recourse legal financing is right for them!
The Thrivest Funding Difference
At Thrivest, we provide flexible financial options to help businesses and individuals meet their cash flow needs. Our friendly staff of funding experts guides each client from beginning to solution.
If you think our legal funding solutions could be the right fit for you, please call one of our specialists at 888-697-7352. Or to apply online, simply click here and fill out our quick form application.