Cash for Settlement

Settlement Loans

26 05 2010 Comments Off on Settlement Loans

In actual fact, many insurance companies are contemptible. You pay for insurance plans to secure your health and remain financially stable even if a mishap happens. However, when the unexpected occurs, the insurance provider either denies your claim or provides you less than the amount needed to solve the problem. Unfortunately, many people let the insurance providers get away with this scheme since it is very bothersome to bring the matter to court.

But, for others, the cash for settlement is very crucial. They have no choice but to take the matters with their insurance company to court due to the insufferable stack of bills that negatively impact their standard way of living. Of these lawsuits, a few receive cash settlement, which grants money to compensate whatever mishap the claimant has undergone. Regrettably, these settlements are usually made with the best interest of insurance companies in mind by awarding them in the form of structured settlement payout.

If this is your case, settlement loans can be your best tool. All you have to do is to find financial institutions that furnish pre settlement loans, so you can take a lump sum payment instead of scheduled payments that the court delegated. While the bills would not pay themselves, and the amount of settlement cash provided periodically from the insurance company is too small to discharge you from debt, you can always look for a company that will help you find a purchaser for your structured settlement money.

Common Misconceptions

There are several misconceptions concerning cash for structured settlement payment. Because of the huge volume of lawsuits being filed in the US civil court system each year, there is growing responsiveness of actually receiving loans based on potential future lawsuit settlement. With knowledge and know-how come half truths and mistaken beliefs. The following are some of the most common misconceptions:

Procurement Process

Contrary to popular belief, pre settlement cash is not easy to procure. Remember that the money is going to be loaned to a plaintiff in the pendency of a lawsuit. The only means that the provider will receive the loaned amount back to include the fees and rate of interest is if the plaintiff wins the lawsuit.

Settlement loan providers will carry out extensive research about your case. They will assess all the documents as well as evidences while conferring with your lawyer. If they suspect a frivolous case, you will surely be denied.

Impact on the Case

Structured settlement loans have no impact on the lawsuit; in contrast to what others believe that these loans can impair your case. Because of privacy laws, the defendant will not know that you applied or you are applying for loan, regardless if the loan will be permitted or denied.

Impact on Credit History

You should understand that your employment history, credit rating, and income level do not serve even a small part of the loan settlement approval process. Your loan will be approved or denied based on how strong and relevant your actual lawsuit is.

The rules in settlement loans are straightforward. If you win, you will have to pay the loaned amount in its entirety, plus the interest rate and service charges. If you lose the case, you will have to pay back nothing.

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