Loans for Accident Victims

Settlement Loans – Frequently Asked Questions

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What are the qualifying criteria to get a loan?

Lawfunder is the right choice for a settlement loan if you:

  • are age 18 or older
  • are a current resident of Australia
  • have a good legal compensation claim
  • need money urgently

You don’t need:

  • to have an income to qualify
  • to have a good credit rating

What is a Lawfunder compensation injury loan?

If you have been in a work or motor vehicle or other accident or slipped and fell at a store, you may have started a personal injury legal claim for compensation. These can be time-consuming, exhausting and expensive. When bills start piling up, you might want to get a loan to help cover necessary expenses. The problem is that traditional lenders like banks want security, credit checks, asset statements, security, proof of regular income, and regular repayments.

If you are injured, quite often you simply cannot provide what the Banks want. This is where the convenience of getting some money from Lawfunder before your lawsuit settles can get you out of financial trouble. Here’s a look at how Personal Injury loans work and some things to know before you apply for one.

If you’re at the start or in the middle of a lawsuit and need money to relieve financial pressure, a settlement loan may be just what you need.

Personal Injury loans aren’t like traditional loans. They’re really a type of advance. While your case is pending, Lawfunder gives you a cash advance on the expected settlement.

The types of cases commonly eligible for a lawsuit loan are Personal injury claims (where someone’s actions cause your injury).
Most common are:

  • Work Accidents
  • Motor Vehicle and Motor Bike accidents.
  • Slip and Fall and other Public Liability Claims
  • Product Liability Claims.
  • Institutional and Historic Child Sexual Abuse Claims.
  • Professional Negligence.
  • Total and Permanent Disability Superannuation Insurance Claims

What are the benefits of Lawfunder compensation injury loans?

Lawfunder loans have some distinct benefits.

You’ll get money for living expenses: With a Lawfunder loan, you’ll get cash to cover your necessary expenses, which can help you keep up with your bills.

You don’t need good credit to get one: Lawfunder does not consider your credit when weighing your application and may not run a credit check. Instead, we focus on the likelihood that your case will not only succeed, but also result in a settlement large enough to give us a return on our investment.

You can generally get the loan quickly: We may be able to approve and fund your advance within hours or days.
You’ll have more time to negotiate: When you’re pressed for cash, you may feel as if you have to take the first offer the defendant makes to you. A Lawfunder loan can give you breathing room in your budget, so you have more time to negotiate a better offer.

What can Lawfunder loans be used for?

If you have been injured in a work or motor vehicle accident or as a result of medical negligence, there’s a chance that you’re unable to work. As a result, you could fall behind on your bills.

A Lawfunder loan gives you the cash you need to cover your living expenses and bills before your compensation case is finalised. You can use the money to pay for your rent or mortgage, car payments, medical bills or even groceries. The advance is yours to use as you wish.

How do Lawfunder compensation injury loans work?

To take out a Lawfunder personal injury loan, you apply for a loan after you have made a compensation claim. Lawfunder evaluates your case’s merit, weighs your chances of winning the case, and estimates how much you can expect to receive. Based on that information, Lawfunder may offer you a loan, otherwise known as a personal injury or settlement loan.

When Lawfunder offers a personal injury loan, we make money by charging you interest and fees that you’ll be expected to pay out of any settlement you receive. The good news is that you don’t have to make any repayments at all until your claim is finalised, or two years have passed, which happens earlier. if your claim has not been resolved within two years, Lawfunder generally is happy to extend the term of the loan.

Typically, you don’t have to make payments until your case is settled or you receive a judgment. This means you do not have any financial pressure on you to make regular repayments. Certain expenses typically need to be covered first, such as your lawyer fees and the expenses of litigation — then Lawfunder is repaid from the remainder.

How long is the term of a Lawfunder compensation injury loan?

Lawfunder loans are usually for two years or whenever your compensation claim is finished, whichever is earlier.

If two years are about to pass and your claim has not been concluded, you can request an extension of the loan term.

Whilst each application will be determined on its merits, Lawfunder generally looks at such requests favourably.

There are usually no penalties if your loan is extended or if you pay the loan out before two years have expired.

Why do people choose Lawfunder?

People choose us because we understand your needs and get you the money when you need it the most.

We offer a totally different way of borrowing which doesn’t add any financial pressure as you do not have to make any repayments until your personal injury claim has concluded.

Short-Term Loans

We offer loans to any adult with a compensation claim with a minimum term of 9 weeks.

Longer-Term Loans

Loan terms are usually for a maximum term of two years unless special circumstances exist.

Multiple Loans

We are happy to provide multiple loans over the course of your claim to you if our lending criteria is met.

Lawfunder provides loans to clients who have suffered any type of accident.

You may get more than one loan from us if you need to during the course of your claim. It may be in your interests and less expensive for you to seek multiple smaller loans than one large advance.

How much can I borrow?

Minimum Amount

The minimum amount you can borrow is $5,000.

Maximum Amount

This depends on the value of your legal claim.
Determining the amount we are able to advance you by way of a personal injury loan is simple. We typically advance 5% – 15% of the total value of your claim. We can assess the value of your claim within minutes of speaking with your Lawyer and getting the necessary information or documentation.
To evaluate your personal injury claim, we will work closely with your Lawyer to look at liability, the amount of damages, and whether or not an insurance company is involved.

What happens if I lose the case?

You still have to repay the advance if you lose your case.

Lawfunder has your back when you need help the most.