Tag Archives: pre=settlement funding

Tips for plaintiffs: How to reach a fair settlement

Every plaintiff goes into a lawsuit expecting a fair settlement. However, this is not an easy task, as fighting a lawsuit can be a long, complicated battle. At times, it can feel easier to settle early than to fight for longer. There are some things a plaintiff can do to help receive fair compensation:

Be organized. Going into the courtroom prepared is key to effectively fighting a case. While the plaintiff’s lawyer is mostly responsible for making sure everything is in order, it is beneficial to the case for the plaintiff to be involved. Make sure all the proper documentation surrounding the incident is in order and any other evidence involved with the case. When the plaintiff is involved and on top of their game, their credibility is is strengthened.

Stay out of the red. Many plaintiffs don’t realize just how important their financial health is to their case. Lawsuits can take a huge financial toll on plaintiffs. The incident that they are seeking damage for, such as lost wages or medical bills from a personal injury, must be financially covered by the plaintiff or their insurance until the case settles, and often insurance isn’t enough to make ends meet. The problem is, lawsuits usually take a long time, time that might be spent unemployed or injured. This often results in the case settling early due to pressing bills that the plaintiff feels can’t wait. It is also common for the defense to use this to their advantage—stalling a case in order to pressure the plaintiff into settling can be cheaper than paying the plaintiff what they deserve.

Stay focused. Just as a plaintiff wants to stay organized, it’s also important for the plaintiff to have a clear mind. If a plaintiff grows frustrated by the lawsuit’s progress, they are more likely to settle sooner rather than keep fighting. Part of staying focused involves the plaintiff’s finances as well. If they have pressing bills at home, they may feel too stressed to wait any longer.

One strategy that can help plaintiffs stay focused, organized, and financially stable is using presettlement funding. This type of funding lets the plaintiff use their settlement to help them during the lawsuit, which can actually be seen as an investment for a fair settlement in the way that it takes away the financial and stress-related pressure to settle early. Lawsuit loans are just for plaintiffs, so the process is quick and easy to avoid even more stress and hassle.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

How a plaintiff’s finances could make or break their case

Legal strategy is complicated, but something that can be known for sure is that it is important for plaintiffs to remain financially stable during their court case. A few ways that financial struggle can affect plaintiffs:

While the lawsuit is in progress, the plaintiff’s financial responsibilities don’t pause and wait for a time that’s financially convenient. The plaintiff must still maintain a standard of living by paying their mortgage, car payments, and other necessities of life along with any medical or repair bills resulting from the incident. If the plaintiff can’t make these payments and suffers from repossession, eviction, or another debt recollection method, then fighting a lawsuit becomes difficult. The struggle of personal responsibilities can take focus away from the plaintiff’s case—they must still make court dates and time for court preparation, make meetings with their lawyer, and other legal responsibilities.

The plaintiff could feel pressured to settle. If the plaintiff is struggling to pay these bills, then they may feel pressure to settle sooner than they would have liked. With debt collectors on their back and bills stacking up, accepting a low settlement just to be able to make payments right away becomes tempting. This is a common situation, since it is actually a defense strategy to stall a lawsuit in order to run the plaintiff dry, especially if the defendant is a group, like a company or organization, with a bigger legal budget than the individual plaintiff—it is often cheaper to stall a lawsuit than to pay a fair settlement. Financial stability is not only essential to the plaintiff’s ability to fight a lawsuit, but it could also be seen as a smart legal strategy.

The reason why so many plaintiffs struggle with finances during a lawsuit is that many are out of work due to an injury or another workplace related incident and suffer from lost wages. Or, even if they are working, they may be struggling with both their personal and legal responsibilities. An option available, one designed specifically for plaintiffs, is the lawsuit loan. A lawsuit loan is an advance on a plaintiff’s settlement that allows a plaintiff to use their settlement during the lawsuit. And, as previously stated, it could actually help the plaintiff win a fair settlement, since it takes the pressure off of settling early. There is a simple, fast application, so plaintiffs can get the money they need quickly and focus on their lawsuit instead of their finances.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

How debt collection affects plaintiffs

The unfortunate truth is that many plaintiffs take their case to court in order to recover lost assets only to find themselves pushed further into financial trouble while they wait for their case to settle. The time between the incident of loss and settlement ranges, but usually goes over a year. This means that the plaintiff must keep up with all of their expenses on their own until the case is over–medical bills, standard living expenses, car and home payments, among others–even though they could be suffering from lost wages due to the incident.

If the plaintiff struggles to pay debt, they could see a battle with creditors in addition to their court case. Debt collection is stressful for anyone, but action taken by creditors puts only more emotional and financial stress on plaintiffs.

The ways that debt collection can effect plaintiffs:

Lost collateral. If the plaintiff has taken out a traditional personal loan from a bank, they are required to post collateral in case they cannot make payments. The problem with traditional loans is that they are designed for the needs of a plaintiff–the lender expects payment according to a specific time schedule, regardless of whether the plaintiff’s case has been settled or not. Without a settlement, these payments can be difficult to make, especially since many plaintiffs are out of work and have other expenses piling up.

Foreclosure. This is actually a type of collateral–If the plaintiff has a mortgage and cannot keep up with payments, then the lender can foreclose on the house in order to collect. Foreclosure doesn’t just happen if an individual can’t pay their mortgage, but also if their property was used as collateral for a loan.

Legal action. If there is no collateral on a debt, in most cases, creditors cannot just take assets from an individual’s bank account; the creditor must take them to court first. Much of this process depends on the plaintiff’s state laws, but they should be aware that they may find themselves in another legal battle in addition to their original case. This takes focus away from their case and may put pressure on the plaintiff to accept a lower settlement.

Wage garnishment. One way a creditor may collect after a court judgement is wage garnishment. This also depends on state laws, but in certain cases, a creditor can take a fourth of the individual’s wages. However, if the individual has more than one creditor, this can add up to even more lost wages.

One financial option open specifically to plaintiffs is presettlement funding, a type of loan that allows plaintiffs to borrow from their future settlement to pay expenses until the case concludes. This means less pressure to settle early–it is both a lawsuit funding option and a smart legal strategy. Plaintiffs can avoid many of the problems seen with traditional loans and credit cards: the case serves as collateral, and repayment is expected after settlement.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

Time is not on plaintiffs’ side, but lawsuit loans can help

Since most plaintiffs enter the legal process with little or no familiarity with the proceedings, they underestimate the time and effort required of them for the case to be successful. Because of things like commercials for attorneys or fictionalized portrayals of lawsuits in popular culture, many plaintiffs have the idea that lawsuits are an easy way for wronged parties to seek compensation. But one of the most difficult parts of fighting a lawsuit comes as a huge surprise—

The lawsuit will likely last more than a year.

It’s difficult to estimate the average length of a lawsuit due to the range of types. For example, medical malpractice lawsuits tend to last longer than personal injury cases. Although it is true that some cases reach a conclusion after only a few weeks, most will last longer than a year and are likely to last around two years. Many plaintiffs who underestimate the time that this can take enter court proceedings enthusiastically and then get frustrated both emotionally and financially when they aren’t getting their settlement as soon as they thought.

Other overlooked time-sensitive issues include:

If the defendant decides to appeal the ruling, the legal process will take even longer, especially since this is a common setting for stalling tactics. In fact, there have been cases of plaintiffs actually suing the court for taking too long to reach a ruling. Appeals are especially common if the defendant is a group or company with more resources than the average individual, especially since appealing can sometimes be cheaper than a fair settlement.

Plaintiffs of longer lawsuits are more likely to accumulate a dangerous amount of debt. When the plaintiff can’t possibly know the duration of the lawsuit, he or she can run into problems with repaying other forms of funding such as traditional loans or fast-but-expensive fixes like credit cards. If a settlement isn’t in sight, the plaintiff typically struggles with repaying these lenders in addition to the ongoing expenses that they needed funding for in the first place. This can create a cycle of debt that, when the case finally concludes, takes away a large chunk of the settlement. Why go through years of an exhausting case just to hand the settlement over to creditors?

Plaintiffs pursuing lawsuits of any duration often find that lawsuit loans are their best lawsuit funding option. One of the reasons why lawsuit loans are unique and convenient for plaintiffs is that repayment is expected once a settlement is reached. If the plaintiff is struggling because of how long the case is taking, then the plaintiff can utilize this fast and easy funding to help manage their finances until the lawsuit concludes. This can give them the financial freedom while awaiting their settlement. Financial stability prevents any stall tactics from pressuring the plaintiff into a smaller settlement, and the plaintiff’s home life will benefit as well when he or she isn’t constantly worrying about financing life’s necessities.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

Four financial traps that plaintiffs struggle with

Financial strain is a common problem for plaintiffs. The stress of medical bills, car repairs, household expenses, and the necessities of everyday life can mean fighting a financial battle along with a legal one. One solution is a lawsuit loan, which they can use to pay bills while they wait for their settlement.

Some common mistakes that plaintiffs make when looking for a lawsuit funding solution:

Borrowing money from a friend or relative. When plaintiffs are in a tough spot financially, it is a natural reaction to look to friends or family for help. While this may work out for some plaintiffs, the sad truth is that borrowing money from a loved one regardless of the reason often results in conflict. Since lawsuits can last for years, the lender may not have realized how long the plaintiff has to wait for a settlement in order to repay them, which often strains the relationship. It is typically best to look for a professional lender so that the plaintiff can keep their financial and personal life healthier.

Using a loan that is repaid through monthly payments. Traditional personal loans are usually repaid through installments. If a plaintiff is looking for lawsuit funding, they are doing so because they are struggling to pay their expenses, but many don’t realize that they may be required to make payments on their personal loan before the lawsuit concludes. That means another monthly expense to worry about. When plaintiffs utilize lawsuit loans, repayment isn’t expected until after the plaintiff receives the settlement.

Relying on credit cards and other similar short-term fixes. When plaintiffs are busy dealing with the details of their lawsuit, they sometimes look right in their wallet for an easy and fast financial solution—credit cards. If a pressing expense can’t wait, it may seem so simple to just take out the credit card. But, as previously stated, the plaintiff can’t be sure when the lawsuit will reach a conclusion, and paying bigger expenses with credit cards is risky regardless of the reason. The longer it takes them to pay it off, the more the interest and fees will build up, and by the time the plaintiff finally receives their settlement, more than expected will be going to the credit card company. The same is true for other fast lending options like paycheck advances: they may be fast, but they’re not convenient for plaintiffs in the long run. If they are interested in settling their finances quickly, then lawsuit loans offer a quick application and funding process.

Letting bills wait. This is another easy trap for plaintiffs to fall into. Many plaintiffs don’t consider any solution at all and instead hope for a fast resolution to their case. This debt that can result from poor financial planning often effects plaintiffs years after the lawsuit is over.

Plaintiffs should be sure to research their options. If they decide that presettlement funding is right for them, then it could prevent falling into these common pitfalls.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

How and why insurance companies stall payments

Personal injuries, car accidents, and other instances that require that the victim works with an insurance company to cover expenses are a huge financial stress for some victims if their insurance company tries to stall processing the claim or making a payment. The company may stall by simple methods such as taking their time processing paperwork or by more severe methods like finding previous injuries in the plaintiff’s medical records, previous accidents on their car’s history, or other reasons to dispute the claim. In the meantime, the victim has bills to pay.

So, why would an insurance company want to stall payments? What’s the advantage of paying later?

They may be trying to stall until it’s too late to file a suit against them. The statute of limitations may differ depending on where the plaintiff lives, but plaintiffs who take insurance companies to court over denied claims only have a certain amount of time after the incident that they can do so. If the insurance company makes it seem like they are paying, at least for a while, they may be able to stall long enough to take legal action off the table in the future. If the plaintiff can’t dispute the claims in court, they may see a smaller payment.

They’re not paying. This one’s pretty simple—if the insurance company is not planning on paying at all, they may be stalling processing the claim in the hopes that the claimant will grow too frustrated or to just make it seem that the claim was very thoroughly processed before it was denied.

The longer a situation drags on, the more the need for the insurance money grows.
As these stalling tactics are being used, the bills will be stacking up, and the plaintiff could find their debt growing. Insurance companies know that after a while of stalling payments, plaintiffs might need the money so badly that they will be willing to settle for a lower payment then what they had expected.

That is why it is a huge advantage for the claimant to be stable financially, not only so that they can follow through to see their insurance payment but also so that if the insurance company denies their claim and they decide to pursue legal action, they won’t find themselves in the same position—desperate for a settlement. It’s a common tactic in court as well to stall until the plaintiff is desperate enough for a low settlement.

Many plaintiffs who take their insurance company to court use lawsuit loans to take this option off the table. Using presettlement funding can actually help them win their case, as the defense will not be able to use the need for money against them in court.

Plaintiffs can also use lawsuit loans to help cover expenses during lawsuits that aren’t against the insurance company but by the individual or company that is at fault for the injury in the first place, as they may still be having trouble covering their expenses until their settlement is reached.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

What happens after a plaintiff is approved for a lawsuit loan

Many plaintiffs look to lawsuit loans to help them pay household bills, mortgage payments and other expenses during their lawsuit. The approval process is fast and easy—the application can be found online, and once plaintiffs provide the lender with the necessary documents, the case’s review will usually take 24-48 hours before approval. The question that many plaintiffs have after approval, however, is, “What happens next?”

The plaintiff’s attorney will be sent the contract. Much of the communication concerning documentation and other details of the case will be done through the lawsuit loan company and the plaintiff’s attorney. After the attorney sends the contract back, then the plaintiff could expect to have their settlement advance promptly. Lawsuit loan companies are used to dealing with attorneys and the unique financial situation of a plaintiff, so the process tends to be much more simple than with other types of lenders.

The funding will be transferred. The promptness that plaintiffs receive their lawsuit funding is a huge advantage of lawsuit loans. After the lawsuit loan receives the contact, the money can be wired to an account or a check could be sent through the mail. That means that the plaintiffs could start paying bills and other essential expenses without worrying about the typically longer closing process that comes with a traditional personal loan from a bank. The sooner the plaintiff gets their financial affairs in order, the more effort they can focus on their lawsuit. A healthy financial status is actually a smart strategy in the courtroom because it often allows the plaintiff to fight longer in order to reach a fair settlement.

Your attorney will be called for occasional updates. Lawsuit loans require relatively little effort from the plaintiff after the funding is received. The lawsuit loan company will call the plaintiff’s lawyer from time to time for updates about the case. With traditional personal loans, plaintiffs could expect at least monthly communication with the lender since those types of loans are usually structured to be repaid monthly. With lawsuit loans, there are no monthly fees to worry about, since payment isn’t received until after the case’s resolution.

The claim is resolved and the lawsuit funds are repaid. Another advantage to lawsuit loans is that the loan isn’t repaid until the case is resolved. The concern with traditional personal loans for plaintiffs is that the lender may expect payment when the lawsuit hasn’t concluded yet.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

How a credit check can create problems for plaintiffs seeking funding

Many plaintiffs seek out a form of lawsuit funding to help pay bills while they await their settlement. If they apply for a traditional personal loan, then they can expect the bank to run a credit check in order to approve the loan, but the unique legal situation of the plaintiff often means that there will be red flags in these credit checks. But if the plaintiff applies for a lawsuit loan instead, no credit check will be necessary and the plaintiff could see their money faster. Some common problems that plaintiffs have with credit checks include:

How many inquiries there are. Whenever a person applies for credit, the lender will make an inquiry to look at their credit report and the report will keep track of how many inquiries there are, so plaintiffs applying for lawsuit funding may run into trouble with obtaining a traditional personal loan if they’ve made too many inquiries. Many traditional lenders will see too many inquiries as a warning sign of unstable credit and this may lead them to deny the applicant. Plaintiffs often try to use credit cards to pay their expenses before applying for a loan so this is a common roadblock for plaintiffs in need of funds. The same goes for how many open credit accounts the plaintiff has.

How much they’re making. One of the main things that traditional lenders look for is whether the applicant has a high enough income to be able to make loan payments. The problem for many plaintiffs, however, is that they may not be working due to the incident that resulted in the lawsuit, such as a workplace injury or a personal injury. The bank or other lender may deny a plaintiff for a loan if they do not want to take a risk on an applicant without an income, even if they are receiving insurance or worker’s comp. Lawsuit loans work differently, and do not require applicants to have a current source of income and it is actually common that their applicants do not have one.

Debt. If an applicant already has debt, then a bank may not feel confident that the applicant can repay the loan. Plaintiffs commonly have this problem because they’ve often already experienced financial strain before they apply for the loan.

Missed credit card payments. Lenders will look to see how responsible an applicant has been regarding their rent, car, mortgage or other bills over the years to gauge whether the applicant would be able to handle repaying the loan. If a plaintiff has been dealing with the circumstances of their lawsuit, then there is a good chance that they may have struggled to make these payments.

If a plaintiff is worried about any of these problems, then pursuing a lawsuit loan instead could be a better option.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

How lawsuit loans can help personal injury or wrongful death plaintiffs

Wrongful death and personal injury plaintiffs bring their situation to the courts because they believe that another party is responsible for an injury that may have had physical, financial, and emotional consequences. Victims and family members of the victims can file a civil suit against the party that they believe is responsible and seek compensation, but are often left to struggle to make ends meet until a settlement is reached. This can lead to struggles both in and outside of the courtroom, but many plaintiffs find that lawsuit loans can make the process much easier on their finances.

The victim’s family must handle the lost wages. For cases of both personal injury and wrongful death, the families of the victims usually struggle with lost wages that were a result of the injury, and sometimes the injury didn’t even take occur at the workplace. With lawsuit loans, plaintiffs borrow from their future settlement and then repay the loan at the conclusion of the pending trial or claim. The plaintiff can use this money to pay bills, medical expenses, and fill in the other gaps left behind by the lost wages.

With all that emotional stress, the plaintiffs need as little financial stress as possible. The emotional stress involved with wrongful death and personal injury cases can make other aspects that much harder to deal with and so the victims often find themselves distracted from all the responsibilities of their lawsuit and home life while dealing with this stress. Along with the emotional burden, the plaintiff must prepare for the case, make court dates, meet their lawyer, and other legal tasks along with maintaining their home. Using a lawsuit loan means that finances are one less thing to worry about and plaintiffs can focus instead on their lawsuit so that they can get back to having a normal life.

Personal loans can take time. We’ve already established that because of the missing income, families involved in a wrongful death or personal injury lawsuit need money to pay bills, but another important aspect is that they get the money fast. Bill collectors are eager to be paid regardless the plaintiff’s legal situation, and so many plaintiffs look to traditional personal loans. One of the problems with traditional personal loans is the application process. There is a lot of paperwork, a lot of credit checking, a lot of analyzation and therefore a lot of time before lenders are ready to hand out checks. With lawsuit loans, however, the application process is easy and fast, and so plaintiffs could expect to see a check within days of applying for their presettlement funding.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.

Five things not all plaintiffs know about lawsuit loans

There are many advantages to using lawsuit loans instead of using other forms of funding, but not all plaintiffs are aware of them before seeking it. There are some very important aspects to lawsuit loans that every plaintiff should know.

Lawsuit loans get plaintiffs the funding quickly. Typically, after filling out the paperwork, the review of the documents will take about 24-48 hours and then after approval, the money can be sent through the mail or can be wired. Getting the funding fast is a huge advantage with lawsuit loans, as many plaintiffs have bills and expenses that just can’t wait. Other loan application processes can be complicated and take a lot of time, and even then the money isn’t always awarded right away.

How easy the application is. The application can be found online and is simple and easy to fill out. Applicants will have to fill out standard basic information, briefly explain the details of the incident that prompted legal action, and will probably need to fill in some information concerning their attorney. The legal battle isn’t necessarily pleasant, and so lawsuit funding should be as easy as possible.

Plaintiffs can get lawsuit funding before the case is even filed. If a suit hasn’t been filed yet, the plaintiff will need to provide enough information for an evaluation of the suit’s value.

The process is confidential. With traditional personal loans, there are credit and employment checks and maybe even a few calls to references. Plaintiffs want the details of their lawsuit to affect the rest of their life as little as possible, and so this intrusion can make things stressful. Lawsuit loans are approved based on the strength of the case, not the plaintiff’s financial situation. Many plaintiffs may be in debt or unemployed due the the circumstances of their lawsuit, so lawsuit loans are often a better option for them.

There’s no collateral held. It’s a standard practice with other forms of lending for the lender to repossess the collateral, such as a car, when there is difficulty repaying the loan. But losing a car can make getting to work difficult, which can make paying the loan difficult. Not to mention, plaintiffs have to worry about meeting their lawyer and making court dates. The stress of repossession can make an already stressful situation even worse. With lawsuit loans, the collateral is the lawsuit, so plaintiffs won’t have those same concerns.

About the Author: Steven Medvin is the Executive Director of SMP Advance Funding, LLC, which provides lawsuit funding to individuals who need a lawsuit loan for pending lawsuits. For more information please visit www.smpadvance.com.