In an age financially ruled by credit scores, legal funding is (thankfully) typically not based on an individual’s credit score or credit history.
Unlike traditional loans where creditworthiness plays a significant role, legal funding is primarily contingent on the merits of the legal case. The decision to provide legal funding is based on the likelihood of a successful settlement or judgment rather than the borrower’s creditworthiness.
Key factors considered by legal funding providers include:
Case Strength
Legal funding providers assess the strength of the plaintiff’s legal case. If the case is deemed strong and has a high likelihood of success, it increases the chances of approval for legal funding.
Potential Settlement
Providers consider the anticipated settlement or judgment amount in the case. The amount of legal funding offered is often a percentage of the expected outcome.
Attorney
Cooperation and support from the plaintiff’s attorney are important. Legal funding providers often work closely with attorneys to assess the case’s viability and to ensure that repayment can be facilitated from the eventual settlement or judgment.
Case Type
Different legal funding providers may have preferences for certain types of cases. Common cases include personal injury, medical malpractice, employment disputes, and class action lawsuits.
Company Policy
Each legal funding provider may have its own set of criteria and policies. While credit history is typically not a primary factor, the specific requirements and conditions may vary among providers.
Credit Doesn’t Affect Legal Funding
Since the vast majority of legal funding is non-recourse, meaning repayment is contingent upon the successful resolution of the case, creditworthiness is not a central consideration. The provider assumes the risk that they may not be repaid if the case is unsuccessful.
It’s important for individuals seeking legal funding to provide accurate and detailed information about their case during the application process. The decision to approve legal funding is generally based on the legal merits of the case rather than the individual’s financial history or credit score.
Legal Funding From Cash Now Funding Group
Are you or a family member in need of financial assistance due to a lengthy legal battle? Are you preparing for a long-term legal battle to get the compensation you deserve? Cash Now Funding Group can be the financial lifeline you need while your case settles. Applying is free and confidential & no credit check is required.
