Post-settlement loans for nursing home abuse lawsuits ensure that plaintiffs can have immediate access to funds after settling but are yet to get the funds awarded.
These loans, also called post-settlement funding, ensure that plaintiffs can tend to certain important needs or take care of expenses like medical bills, living costs, or legal fees while still waiting for the settlement payout.
However, note that the loan will be repaid from the settlement proceeds, and this means there is no financial risk even though the settlement is delayed or the amount is reduced.
These loans have proven to be beneficial as they guarantee that victims can take care of their financial obligations within the often very long settlement process.
Top Things to Know About Post-Settlement Loans for Nursing Home Abuse Lawsuits
Numerous issues come with post-nursing home abuse lawsuits. One such issue is having the necessary funds to settle things like medical bills, living costs, or legal fees, and this could bring about more emotional and physical tolls.
However, in recent times, people have been able to find financial relief by making efficient use of post-settlement loans. However, to ensure proper understanding, below are the top things anyone should know about these loans:
-
Immediate Financial Relief
Note that once a settlement has been reached in a nursing home abuse lawsuit, it can take weeks and sometimes months before the amount awarded will be disbursed.
Keep in mind that within this waiting period, a good number of plaintiffs have to put up with mounting bills and expenses, including medical costs, living expenses, and legal fees.
They can leverage this particular loan to ensure they have the necessary cash to deal with their financial obligations immediately, limiting the stress that comes with waiting for the settlement payout.
-
Risk-Free Repayment Structure
It refers to the fact that the loan can only be repaid from the settlement proceeds. However, if for any reason the settlement amount is reduced or delayed, or if the settlement is not paid out, the plaintiff is not expected or obligated by law to repay the loan from their pocket.
Note that this particular structure guarantees that the plaintiff doesn’t put up with financial risk and can benefit from the much-needed peace of mind during very difficult times.
-
No Credit Checks or Income Verification
One of the things people tend to like about post-settlement loans is that, unlike traditional loans, credit checks or income verification are not needed or necessary to obtain post-settlement loans. Application approval for these loans is based on the merits of the settled case as well as the expected payout.
Keep in mind that this works to make post-settlement loans easily accessible to plaintiffs who might possess poor credit or limited income, making sure that they can still get the needed funds to deal with their expenses.
-
Higher Interest Rates
You have to understand that post-settlement loans come with higher interest rates when put in comparison to traditional loans.
Note that the exorbitant rates are a result of the non-recourse nature of the loans as well as the risk assumed by the lending company.
Even though these loans will offer very important financial support, plaintiffs are advised to take time to understand the terms and conditions, such as the interest rates as well as any associated fees, to guarantee they are aware of the cost of borrowing.
-
Streamlined Application Process
Another good thing about post-settlement loans is that the application processes are simple, straightforward, and highly efficient. To apply, plaintiffs only have to provide vital details regarding their settlement as well as their attorney’s contact information.
The lending company will afterward evaluate the application, the case, and the settlement details to guarantee eligibility as well as the loan amount.
Once the application is approved, funds will then be disbursed immediately, most often taking just a few days, ensuring that plaintiffs can get quick and timely financial support when it is required the most.
Conclusion
Post-settlement loans have proven to be a good and necessary lifeline for plaintiffs who have to contend with the financial aftermath of a nursing home abuse lawsuit.
However, it is important these individuals thoroughly understand what they are getting into as well as have the necessary details required to make informed decisions.