Q: I am still being treated for an injury and can’t return to work. Do you recommend borrowing money from a pre-settlement lawsuit funding company?
A: Pre-settlement funding is provided to an injured party in return for a promise to repay the advance after an award or settlement. It is “non-recourse” funding, in that if no award or settlement is obtained, the advance does not have to be repaid. There is a big risk to the funding company and therefore the fees and interests are substantial. Generally, pre-settlement funding is not recommended because of the enormous costs. If you are considering an advance, contact an attorney so that you can be certain that your rights are protected