If you are in the middle of a lawsuit that you could take long time to resolve or you are suing a larger company for their wrong doing and clearly can afford to stall their payment, you may not have a choice but to go to a future settlement funding financial institution and get a cash advance on your settlement.
How it works:
- Finance companies will review your case and speculate if you have a good case and a better chance of winning the lawsuit.
- They will then advance you the money but it is based on a few different factors, what you currently need, the amount you expect to win, and the merits of your lawsuit.
- Now, because it is a non-recourse advance, you are not required to repay the advance if you lose the case. This is why, getting a cash advance comes with very expensive fees. It is a big risk on the investor.
- Different companies do not have similar cost structures, so make sure you talk to a few different finance companies and compare. There are some companies that actually offer an assessment with no application fees or credit checks. However, it is wise to understand and read all the fine print