4 Things You Should Know About Legal Funding & How It Works

When an unexpected accident or personal injury from drugs occurs, it often brings with it unexpected financial burdens, in terms of both your health and legal expenses. These times can be rather difficult and may put you or your family in need of support. Legal funding programs and services – such as UpLift – help provide settlement loans in order to help support those experiencing financial problems during these trying times.

Security You Need
The greatest benefit of getting a settlement loan is it provides the security you need during the legal proceedings that you need to undergo. It gives you the breathing room you need to get through the settlement process and maintain your regular lifestyle.

Legal Funding Isn’t Exactly a Loan
Although these processes function much like a loan, you are in essence pre-purchasing a portion of the potential future settlement you would gain from a successful case. While you may need to pay interest on this the same way that you would a loan, it really functions as an advance. Unlike a loan, this advance has no monthly payments, points, or upfront fees, since the legal funding company purchases a portion of the client’s potential future receivable by advancing the client the funds.

Fees are never paid upfront, which gives you the breathing room to pursue your settlement. Legal funding is also a non-recourse process, which means that plaintiffs and attorneys are not forced to repay their advances, protecting you from legal action.

There are Two Main Types of Legal Funding
There are two main types of legal funding, pre-settlement and post-settlement. As you would expect, pre-settlement loans are available prior to a settlement amount being determined while post-settlement loans are available after a settlement amount has been determined. These are the only courses of action for plaintiffs as the other two types of funding – voucher funding and attorney line of credit – are available strictly to attorneys.

Pre-settlement funding provides plaintiffs and attorneys access to funding throughout the course of their settlement. In some cases, this will be essential and will greatly boost your hopes of settling the case, paying all of your related expenses, and ensuring comfortable living during the process. Pre-settlement funding has higher interest rates because there is more risk involved for the investor. This is is for people that require capital in order to sustain their case through to settlement.

Post-settlement funding provides plaintiffs and attorneys advanced funding after a settlement has been reached. This reduced the risk for the investor, lowing the interest rates you’d have to pay on this funding. However, it also means you will have to wait until after your case settlement (up to a few months) for the advance. This will still get you funds advanced for your use, but you will not have them for the duration of the case. This is for people that require an advance but do not want to assume the high interest rates that comes with a pre-settlement funding.

Let’s You Get Back to Your Life
While there are stresses involved with taking out a settlement loan, there are also many stresses associated with accidents and in undergoing the long process of a settlement and potential case. Getting a settlement loan for your pharmaceutical drug case could potentially help give you the freedom and security to live your life comfortably while you go through this process.

It is an ideal way to help relieve some of the major stresses that come with the drug accident you endured. Many people pursuing legal funding will apply for pre-settlement funding in order to help them through the process and ensure that they continue on with their lives.

UpLift Legal Funding Can Help
UpLift Legal Funding is an online platform in which you can get funding for your pharmaceutical drug settlement loan, helping to support you through the process of your case. They use an online platform, resources, and community to find legal funding quickly and efficiently that will get you through your case.

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