Pre-settlement lawsuit funding provides financial support to plaintiffs while their lawsuit is still ongoing, helping cover living expenses, medical bills, or legal costs before a settlement or verdict is reached. In contrast, post-settlement funding occurs after a case has been resolved but before the plaintiff receives their payout, offering immediate access to a portion of the awarded compensation. Both are non-recourse advances, meaning repayment is only required if the plaintiff wins or receives a settlement.
Mustang Litigation Funding provides best-in-class capital solutions for law firms, plaintiffs, litigation vendors, and other legal assets. Contact us today to learn more about pre-settlement funding and how we can help.
Why Would a Plaintiff Need Post-Settlement Funding?
Settlement payouts can be delayed for several reasons:
- Appeals: Appeals can significantly extend the timeline, as defendants may challenge the settlement or verdict, requiring additional legal proceedings before any payout is issued.
- Insurance company delays: Insurance companies also contribute to delays by thoroughly reviewing claims, negotiating final amounts, or using bureaucratic tactics to slow the disbursement process.
- Court approval: Some settlements require court approval, particularly in cases involving minors, class actions, or structured settlements, adding further time before funds are released.
These delays can leave plaintiffs in a difficult financial position, making post-settlement funding a viable option for immediate financial relief while awaiting the final payout.
The Benefits of Pre-Settlement Funding for Plaintiffs
As a leading lawsuit lender, Mustang Litigation Lending is committed to helping individuals, groups, and legal firms make safe and informed choices. For plaintiffs awaiting the outcome of legal proceedings, pre-settlement funding provides financial relief during litigation, ensuring they can cover living expenses while awaiting a settlement, which can sometimes take years. Unlike traditional loans, it does not require a credit check or employment verification, as approval is based solely on the strength of the legal claim.
As noted above, this funding is risk-free, meaning if the case is lost, the plaintiff owes nothing, making it a form of non-recourse financing. Unlike credit cards and personal loans, it does not have monthly payments. Instead, these funds are only repaid once your case is completed. Cash transfers for qualifying cases can be made anywhere from 24-48 hours after your application is approved.
Additionally, there are typically no restrictions on how the funds are used, allowing recipients to cover legal fees, daily expenses, or any other financial needs without limitations.
Apply For Funding Today
Mustang provides non-recourse cash advances to plaintiffs with active litigation claims. This “lawsuit” advance helps plaintiffs address immediate financial needs while they await settlement. Broadly speaking, it helps level the economic playing field against deep-pocketed defendants and insurance companies. With adequate resources, both the plaintiff and the attorney are better equipped to pursue a claim to its full potential.
You can explore our ultimate guide to pre-settlement funding to learn more about how pre-settlement funding works.
About Mustang Funding
Mustang Funding, founded in 2018 and based in Wayzata, MN, is a litigation finance company dedicated to empowering individuals and law firms nationwide with transparent and innovative financial solutions. With over $170 million funded, 10,000+ checks issued, and more than 3,000 cases financed, Mustang provides plaintiff pre-settlement funding, law firm financing, and commercial funding to meet diverse client needs. Their commitment to transparency, integrity, and expertise sets them apart, offering tailored financial support to plaintiffs, businesses, and legal professionals. By bridging capital gaps and fostering access to justice, Mustang Funding continues to lead the legal asset investment industry with a strategic, inclusive, and forward-thinking approach.
