Lawsuit Loans

Apply for Lawsuit Loans While Your Case Is Pending

Lawsuit loan funding, often referred to as pre-settlement loans, offers financial relief for those with personal injury claims. If you’re struggling to pay your bills while waiting for your case to settle, lawsuit loans can give you the funds you need. This funding is provided upfront, based on your expected settlement, to help cover medical costs, living expenses, and more.

Lawsuit Loans vs. Traditional Loans

Unlike traditional loans, lawsuit loans don’t require credit checks, income validation, or any form of collateral. The loan is granted based on the strength of your case and the anticipated settlement. You’ll only repay the loan once your case is successfully resolved, which sets lawsuit loans apart from traditional borrowing methods that require repayment regardless of the case outcome.

How Does a Lawsuit Loan Work?

When you apply for a lawsuit loan, the lender provides you with a portion of your expected settlement. In exchange, you agree to repay the loan plus interest once the case concludes. The process is simple:

• No credit checks: Your credit score or income doesn’t matter.
• Non-recourse: If you lose your case, you don’t have to repay the loan.
• Same-day funding: Funds can often be provided in as little as 24 hours.

Types of Lawsuit Loans Available

Lawsuit loans can be provided for a wide variety of cases, including:

• Auto Accidents
• Personal Injury
• Employment Law
• Nursing Home Abuse
• Premises Liability
• Birth Injury
• Medical Malpractice
• Wrongful Death Lawsuit
• Wrongful Termination
• Car Accident Lawsuit
• Motorcycle Accident loans
• Truck Accident Lawsuit Loans

Depending on the complexity of your case, your attorney will help you determine the best funding options.

Do You Have to Pay a Lawsuit Loan Back if You Lose?

Unlike traditional loans, you do not have to repay a lawsuit loan if you lose your case. If your case is unsuccessful, the lender bears the risk. This is called non-recourse financing, which makes lawsuit loans a safer and more affordable option for plaintiffs.

How Long Does it Take to Get a Lawsuit Loan?

The lawsuit loan process is faster than you may think. Once you contact a representative, you can begin the application process immediately. Most applications are approved within 24 to 48 hours, and you could receive the funding in as little as one business day.

How Much Can You Borrow with a Lawsuit Loan?

The amount you can borrow depends on the value of your case and your expected settlement. Typically, you can access anywhere from 10% to 20% of your expected settlement. Some cases may qualify for up to $1 million in funding, depending on the complexity of the case.

Spending Your Lawsuit Loan

One of the advantages of lawsuit loans is the flexibility to use the funds as you need. You can use the money to pay for:

• Medical bills
• Living expenses such as rent, utilities, and groceries
• Car payments and insurance
• Legal fees
• Any other urgent financial needs

Choose the Right Lawsuit Loan Provider

When applying for a lawsuit loan, it’s important to choose a reputable provider. Look for a lender that offers:

• Fast approval and quick access to funds
• Transparency regarding interest rates and repayment terms
• Non-recourse loans, so you aren’t at risk if you lose your case

At Litigation Funding LLC, we pride ourselves on offering clear, fast, and fair lawsuit loans to help you through your legal journey.

Is a Lawsuit Loan Actually a Loan?

Not in the way most people mean the word, and the difference is the single most important thing to understand before you sign anything.

A bank loan is a debt. You owe it whatever happens next — if you lose your job, if the case drags, if the claim fails entirely. A lawsuit loan is structured the other way round. It is a non-recourse advance against the settlement you expect to receive, which means repayment comes out of that settlement and nowhere else. If the case is unsuccessful, you owe nothing. Not the advance, not the fees, not a reduced amount.

That is why the approval questions are so different from a bank's. No one asks for your credit score, your pay stubs or a co-signer, because your income is not what repays the advance. The case is. The underwriting question is simply whether the claim is likely to resolve in your favour and for roughly how much.

The word "loan" persists because it is what people search for and what the industry has always been called. We use it on this page for the same reason. But when you read the agreement, you are reading a purchase of part of your future recovery — not a promise to repay a debt.

Lawsuit Loans, Settlement Loans, Pre-Settlement Funding: Is There a Difference?

Mostly, no. These are competing names for the same product, and the variation says more about marketing than about the terms on offer:

• Lawsuit loan and lawsuit settlement loan — the most common consumer phrasing.
• Settlement loan and pre-settlement loan — the same advance, named for when it arrives: before the case resolves.
• Pre-settlement funding and legal funding — the industry's preferred terms, chosen partly because they avoid the word "loan."
• Litigation funding — used for consumer advances like these, but also for commercial cases where an investor funds a company's lawsuit. Those are very different transactions.

What actually differs between providers is the rate, whether it compounds, and what happens if your case takes longer than expected. Those are the questions worth asking. The name on the website is not. If you want the mechanics in more depth, see what pre-settlement funding is and how it compares with a traditional loan.

What Does a Lawsuit Loan Cost?

Cost is the question people are most afraid to ask and the one that matters most, because the structure of the rate affects the final figure more than the rate itself.

Two things to establish with any funder before you sign:

• Does the rate compound? A simple rate is charged on the original advance. A compounding rate is charged on the advance plus the fees already added. Over a case that runs two years, the same headline percentage produces very different totals depending on which applies.
• Is there a cap? Some agreements stop accruing after a set period. Others do not, which matters because you do not control how long your case takes.

You should also confirm what is not charged. With us there is no application fee, no monthly payment while the case is open, and no credit check — and if the case is unsuccessful, nothing is owed at all. Our current terms are set out on our rates page.

Who Qualifies for a Lawsuit Loan?

Eligibility rests on the case, not on you. In practice, three things need to be true:

• You have an active claim. The case must be filed or in the hands of an attorney preparing to file.
• You are represented by an attorney. Funding is repaid out of the settlement, which your attorney distributes, so the arrangement depends on their involvement. If you are not yet represented, see funding without an attorney.
• The claim has a realistic recovery. There has to be a defendant who can pay — typically an insurer — and a plausible path to settlement.

What does not matter: your credit history, your employment status, whether you have been turned down for credit elsewhere, or whether you have already taken an advance on this case. A second advance is often possible if the case value supports it — see how many advances you can take.

Lawsuit Loans in Michigan

Michigan's no-fault system changes the timing of an injury claim in ways that matter if you are deciding whether to wait or seek an advance.

Your own insurer covers medical costs and wage loss through Personal Injury Protection regardless of fault. That is the part that usually arrives first. A claim against the at-fault driver for pain and suffering is separate, subject to Michigan's threshold requirements, and routinely takes far longer. Plaintiffs are often surprised that PIP benefits have started while the larger claim has barely moved — and it is that gap, sometimes a year or more, where household bills become the problem an advance is meant to solve.

Litigation Funding, LLC is a Michigan company based in Southfield. Every case is reviewed personally by Stephen A. Wood, J.D., who has practised Michigan personal injury law since 1977 and is trusted by more than 250 injury lawyers across the state. That means the person assessing your claim already understands the court it will be heard in.

We fund claims across Michigan — see the cities we serve — and the case types we handle are listed under cases we fund, from car accident claims to medical malpractice.

Comparing Lawsuit Loan Companies

Most funders advertise the same things: fast approval, no credit check, nothing owed if you lose. Those are table stakes. The differences that affect what you actually receive are less visible:

• Who underwrites the case? Some companies are brokers who pass your application to a third party — and sometimes to several, which means your details circulate further than you expected.
• Is the rate simple or compounding, and is it capped? Ask for the total repayable at 6, 12 and 24 months, in writing.
• Are there fees on top? Application, processing, origination and wire fees all reduce what reaches you.
• What happens if the settlement comes in lower than expected? A reputable funder absorbs that risk; that is what non-recourse means.

We are attorney-owned, we underwrite in-house, and the person who approves your advance is the attorney whose name is on the door. If you are weighing several providers, our guide to choosing a pre-settlement funding company sets out what to compare.

Talk to Someone Before You Apply

You do not need to fill in a form to find out whether funding makes sense for your case. Most questions — whether your claim qualifies, roughly what it would cost, how quickly money could arrive — are answered faster in a two-minute phone call.

Call (248) 353-8830 and speak to the office directly. If you would rather your attorney made the call, they are welcome to; many of the lawyers we work with prefer to handle the first conversation themselves, and there is more for them at funding for attorneys.

Get Started with Your Lawsuit Loan Today

If you’re facing financial strain while waiting for your lawsuit to settle, lawsuit loans may be the solution. Reach out to Litigation Funding LLC to apply for a lawsuit loan or to learn more about your options. Apply today, and let us help you manage your expenses during this critical time.

Frequently Asked Questions