Individuals involved in personal injury lawsuits often experience financial struggles while waiting for their case to settle. To relieve the financial burden in the interim, there are typically two options: traditional loans or same day pre-settlement funding.
Traditional loans are given based on your credit history and require repayment to begin right away. Same day pre-settlement funding, on the other hand, offers immediate financial relief while bypassing credit checks and job requirements. Additionally, pre-settlement funding (sometimes incorrectly referred to as a lawsuit loan) are only required to be repaid if the lawsuit wins.
Pre-settlement funding is often a great option to relieve financial burdens while awaiting the results of a lawsuit. However, if your need for funds isn’t connected to a pending legal case, there’s no reason to consider pre-settlement funding. Traditional loans are appropriate for a wide range of financial needs beyond legal settlements, including home improvement projects, car repairs, debt consolidation, vacation funds, and other large purchases.
How Pre-settlement Funding Works
Same day pre-settlement funding offers quick financial relief for those in the midst of settlements tied to auto accidents, worker’s comp & slip & fall cases. You simply fill out an application which is then carefully reviewed without a credit check. Approval and the funding amount provided is largely determined by the strength of your case, including the potential settlement amount.
If approved, funds could land in your account within 24-48 hours as the application and approval, not affecting your credit score. This funding is non-recourse, meaning repayment hinges solely on your case’s success; if you lose, you pay nothing back.
Types of Lawsuits Eligible for a Pre-Settlement Funding
Various lawsuits could qualify for same day pre-settlement funding. Those in the middle of the following types of lawsuits are good candidates for pre-settlement funding:
Pre-settlement funding is typically available for cases where the plaintiff is involved in a personal injury claim or other types of legal actions where the outcome is anticipated to result in a financial settlement or judgment. Here’s why the following types of lawsuits commonly qualify for pre-settlement funding:
Auto Accidents
Auto accident cases often involve clear damages, including medical expenses, lost wages, and pain and suffering. The potential settlement or award amount can be relatively predictable based on the severity of injuries and the extent of damages. Additionally, these cases frequently involve insurance companies, which can expedite the settlement process.
Passenger & Pedestrian Injuries
Liability in pedestrian and passenger injury cases is often more straightforward compared to other types of claims. For instance, in a pedestrian injury case, liability usually falls on the driver who struck the pedestrian. These cases often involve clear physical injuries and corresponding damages, which makes it easier to estimate the potential settlement value.
Workers’ Compensation
Workers’ compensation cases typically involve predefined benefits for work-related injuries, such as medical expenses, lost wages, and disability payments, making the potential outcome more predictable. Also, workers’ compensation claims follow a regulated process with set rules and guidelines, which helps in predicting the potential settlement or compensation amount.
Workplace Negligence
Claims involving workplace negligence usually involve substantial documentation related to the employer’s failure to maintain safety standards or adhere to regulations. This evidence can help in estimating the potential value of the claim.
Premises Negligence/Slip & Fall
Premises negligence cases involve injuries that occur on someone else’s property due to unsafe conditions, such as slippery floors, broken steps, or poor lighting. Liability can be more straightforward because property owners have a duty to maintain a safe environment.
Construction Accidents
The construction industry is highly regulated with strict safety standards. Violations of these standards often lead to clear liability for construction site accidents. These accidents often come with detailed reports, safety inspection records, and witness testimonies, which help assess the strength and potential value of the claim.
Wrongful Death
Wrongful death lawsuits seek compensation for the death of a loved one due to someone else’s negligence or misconduct. The impact of a wrongful death is significant and often involves clear financial and emotional damages, making the potential settlement amount more predictable.
Have you been involved in an accident and need help with pre-settlement funding? Oasis is here to help!
How to Use Pre-Settlement Funds
Pre-settlement funding can be used for various expenses on the same day it’s received. Some common uses include:
- Living expenses – Rent, groceries, and other day-to-day expenses.
- Medical bills – Paying for medical treatments, hospital bills, prescriptions, and other healthcare needs.
- Household bills – Managing expenses like electricity, water, and other necessary services.
- Childcare and education – Paying for childcare services or educational expenses.
- Transportation costs – Expenses related to commuting or travel.
- Unexpected emergencies – Addressing any unforeseen costs that may arise.
These funds help alleviate financial stress while awaiting the resolution of a lawsuit, allowing the recipient to focus on their recovery and legal proceedings.
Unique Aspects of Pre-Settlement Funding
Pre-settlement funding is structured differently from a loan. The funding company assesses the potential value of the case, the likelihood of a successful outcome, and the estimated amount of the settlement or award. This evaluation focuses on the merits of the case rather than the plaintiff’s creditworthiness.
Additionally, pre-settlement funding is non-recourse, meaning the customer doesn’t have to repay it if they lose their case. The funding company is only repaid if the borrower wins or settles their lawsuit. This is another reason the customer’s credit history is less relevant to the funding company’s decision.
Due to the non-recourse nature of this type of same day funding, there aren’t any out-of-pocket expenses for the recipient, ensuring financial peace without upfront risk.
Why Choose Oasis Financial?
When you work with Oasis Financial, you’ll enjoy a smooth and fast application process. We are often able to distribute funds with 24-48 hours after you’ve applied for funding and approved. Additionally, we pride ourselves on our commitment to compassion and excellence in customer service. As the industry leader for over 25 years, we’re delighted to have helped over 350,000 individuals and families get the financial help they needed.
If you have any questions or comments, check out our FAQ page or contact us to speak with a customer service representative.
The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. No attorney-client or confidential relationship is or will be formed by use of the site. Readers of this website should contact their attorney to obtain advice with respect to any particular legal matter. No reader, user, or browser of this site should act or refrain from acting on the basis of information on this site without first seeking legal advice from counsel in the relevant jurisdiction.
Oasis provides pre-settlement funding, also known as consumer litigation funding, to its customers through different products depending on their state of residence or cause of action. Many consumers will be provided pre-settlement funding in the form of a purchase agreement, which assigns a portion of the pending proceeds from their legal claim. Other consumers, such as those in SC and CO will be offered a funding in the form of a pre-settlement loan, sometimes referred to as a lawsuit loan. These transactions have important differences, therefore, consumers should carefully review and be aware of the type of transaction that is offered to them by any funding company.