Since suffering a serious injury due to another party’s negligence or recklessness, more than your body is harmed. Because you cannot work, your financial situation is bleak. Medical bills keep piling up. Finding the money to keep the lights on, put food on the table, and pay the rent or mortgage is getting tough.
You will almost certainly receive a settlement in your personal injury lawsuit, but it can take months or even years before you get the money. Pre-settlement funding in New York can help you pay your bills while you wait for your case to settle.
Although pre-settlement funding is sometimes referred to as a lawsuit loan, it is not actually a loan. Instead, it is much like a cash advance.
No collateral is necessary. Pre-settlement funding disburses money in anticipation of a future personal injury settlement or verdict. There is no credit check involved.
Spend the money to fund your living expenses, pay down debt, or any other need.
How Pre-Settlement Funding Works in New York
Pre-settlement funding in New York works by determining the merits of your case. You must have an attorney and a civil personal injury lawsuit currently in progress. Your lawyer must agree to work with us.
After assessing the potential value of your case and its likelihood of success, a decision regarding pre-settlement funding is made.
In New York, pre-settlement financing solutions are non-recourse. That means that even if you lose your case, you do not have to pay the pre-settlement funding back. The lender absorbs that risk.
What are the Benefits of Pre-Settlement Funding in New York?
There are several benefits to pre-settlement funding for individuals awaiting the outcome of legal proceedings, which include:
- Risk-free funding: Remember, pre-settlement funding is not a loan. If you lose your case, you don’t have to pay it back. We get paid if and only if you win your case. Further, If your case settles for less than expected, you are not responsible for covering that gap. We consider this risk when reviewing your application and offering you a lawsuit advance.
- Helps cover living expenses during litigation: There is no deadline to settle a civil lawsuit, and some can take years to resolve. A lawsuit advance offers financial relief while you await a financial settlement.
- Does not affect your credit in any way: Good credit is not a requirement for pre-settlement funding, and applying for a lawsuit advance will not impact your credit
- Does not require an employment check: We approve applications solely based on the strength of your legal claim, not your job history.
- Does not require monthly payments: Unlike credit cards and personal loans, litigation advances do not have monthly payments. Instead, these funds are only repaid once your case is completed.
- Offers fast cash payments: Cash transfers for qualifying cases can be made within 24-48 hours after your application is approved.
Eligibility Criteria for Pre-Settlement Funding in New York
If you want to obtain pre-settlement funding in New York, you must first meet the following criteria:
Be a Plaintiff in a Pending Civil Claim
You must be a plaintiff with a pending legal action filed in court to be eligible for pre-settlement funding. While most people who benefit from this funding are plaintiffs in personal injury lawsuits, other types of cases may apply, including employment law, workers’ compensation, sexual abuse, and mass torts.
Ultimately, pre-settlement funding is a personal choice. There are other options to help you cover your expenses, including credit cards and personal loans. We encourage plaintiffs to consider their personal financial situation, the length of legal proceedings, and if there’s a need for immediate funds when making this decision.
Have a Strong Case
In New York, the amount of pre-settlement funding you are eligible to receive is based on the strength of your legal claim. We will base our final decision on whether we believe you will win compensation and how much you are likely to receive. Pre-settlement funding is like a cash advance on an anticipated settlement or verdict in a personal injury case.
The future settlement serves as collateral. At Mustang Funding, we offer funding amounts ranging from $500 to $100,000, typically without any restrictions on how the cash is used.
Be Represented by an Attorney
To obtain pre-settlement funding, you must have a pending personal injury lawsuit and representation by an attorney. Your lawyer plays a critical role in the funding evaluation process. Our team must consult them to determine whether you have a strong case and are likely to obtain a substantial settlement or a favorable verdict if heading to trial.
Is My Lawsuit Eligible for Pre-Settlement Funding in New York?
Different types of personal injury lawsuits and certain other types of civil lawsuits may qualify for pre-settlement fundings. Such lawsuits include but are not limited to the following:
- Motor Vehicle Accidents
- Pedestrian and bicycle accidents
- Slip-and-falls
- Construction accidents
- Pharmaceutical injuries
- Birth injuries
- Dog bites
Whether you were injured in Manhattan, Brooklyn, the Bronx, Queens, Staten Island, or anywhere in the state of New York, our team at Mustang Funding is happy to help you learn more about pre-settlement funding and whether it is the right option for you.
Based in Wayzata, Minnesota, Mustang Funding provides responsible and transparent pre-settlement funding services to litigants from coast to coast. Over the years, we’ve worked with over 1,000 U.S. law firms and signed over 10,000 checks. Contact us today. We’d love to hear from you.
New York Pre-Settlement Funding Laws
New York is one of the relatively few states operating under a pure comparative negligence standard when it comes to liability. That means a plaintiff can recover damages in a personal injury case whether they were not at fault or were 99 percent at fault.
The plaintiff’s degree of fault affects their compensation, with the award reduced by their percentage of fault. For instance, if the award is $100,000 but the plaintiff is found 30 percent liable, the award is reduced to $70,000.
Requirements for pre-settlement funding lenders in New York include:
- Lenders must disclose all details and fees in the contract.
- Total repayment amounts must be calculated at six-month intervals up to 36 months.
- Plaintiffs are permitted to cancel the agreement within five days without penalty.
- The plaintiff’s attorney must certify in writing that the terms of the contract were explained to the client.
In New York, the statute of limitations for filing a personal injury lawsuit is generally three years from the date of the accident. Failure to file a personal injury lawsuit within that timeframe means your case cannot go forward.
Learn More About Pre-Settlement Funding in New York
If you would like to know more about pre-settlement funding assistance in New York and how it can help you, contact Mustang Funding today. If approved, you may receive your funding in as little as 24 hours. We serve New York City, Yonkers, Albany, Buffalo, Rochester, Syracuse, and other states where legal funding is is legally permitted.
