Lawsuit Financing in North Carolina: 3 Things to Keep in Mind
When you’re involved in a lawsuit, every penny counts. You need to make sure that you’re getting the best representation possible, and you also need to ensure that you have sufficient money to cover your costs until the case settles.
North Carolina General Statute § 1-52(16) requires that personal injury lawsuits be brought within three years of the action happening. Hence, if you’ve been hurt badly in an accident, you must act quickly and file your lawsuit within that time frame.
You may need money for various purposes like paying your medical bills, maintaining your lifestyle, or covering your legal fees.
If you don’t have the money to pay for this yourself, you may want to consider lawsuit financing in North Carolina. This article will discuss three things you should consider when applying for a North Carolina lawsuit financing.
- Make Sure You Understand How Lawsuit Financing Works
Here are the basic principles: a plaintiff in a personal injury case agrees to sell a portion of their expected future settlement or verdict for an upfront cash payment.
The funding company pays the plaintiff the agreed-upon amount and is repaid from the case proceeds when it settles or goes to verdict. However, if the case is unsuccessful, the funder does not get paid back.
Ensure you understand your agreement terms and what you are selling before you sign on the dotted line.
Most importantly, make sure you are comfortable with the risks involved.
Remember, if your case is unsuccessful, you will not only be out of pocket for any medical bills or expenses related to the injury.
- Ensure You Have a Good Case With a High Chance of Winning
Of the 275,067 auto crashes in 2017 in New Jersey, 81,865 – or 29.7 percent – caused injuries to drivers or passengers. If your case is a similar one, you may be able to get a loan.
To get an idea of how strong your case is, ask yourself the following questions:
-What are the chances of winning the case?
-How much will you likely receive if you win?
-How long will it take for the case to settle?
If you’re unsure about the answers to these questions, it’s good to speak with a lawyer before applying for lawsuit funding. They can help you better understand the strength of your case and what you can expect.
- Check the Interest Rates and Fees Associated With the Loan
The interest rate and fees associated with lawsuit loans can vary depending on the lender. It’s crucial to compare rates and fees from multiple lenders before deciding on a loan.
Ensure you understand the loan terms, including how much interest you will pay and when the loan is due. Some loans may have origination fees or other charges due at the time of the loan.
Ensure to ask about all fees before you agree to a loan.
Whether you are considering North Carolina lawsuit financing or another type of funding, do your research and understand the terms of your agreement. Then, look for the best rates and terms, and ensure you are comfortable with the repayment process. With a bit of preparation, you can find the right financing option to help you through your legal battle.