A serious injury sets your life back in so many ways. If your injury resulted from another party’s negligence or recklessness, you could file a personal injury lawsuit to receive compensation.
Keep in mind that even the strongest personal injury cases can take months or years to settle. In the meantime, your medical bills continue piling up, and you must put food on the table, keep the utilities turned on, and pay your rent or mortgage.
Insurance companies know that if they drag a settlement out long enough, you might agree to a lesser amount due to desperation.
This is where pre-settlement funding in Pennsylvania can help. Although pre-settlement funding is often referred to as a lawsuit loan, it is not actually a loan. Pre-settlement funding works more like a cash advance. It does not affect your credit score, and your pending lawsuit acts as collateral.
The money from pre-settlement funding allows you to pay off bills and feel less stressed about your financial situation. You can generally receive up to 20 percent of an anticipated settlement amount.
There are no limitations when it comes to how you spend pre-settlement funding.
How Pre-Settlement Funding Works in Pennsylvania
Only those who have a current personal injury case filed in civil court are eligible for pre-settlement funding in Pennsylvania.
Your lawyer must agree to work with us, as lenders must know the strength of the case before agreeing to pre-settlement funding. Under Pennsylvania law, your attorney must inform you that working with a lender will cause some loss in attorney-client privilege. That is because some confidential information must be shared with a third party.
Pre-settlement funding in Pennsylvania is non-recourse. That means that if the jury does not reach a favorable verdict in your case or the insurance company does not settle, you do not have to pay the funding back. That is a risk assumed by the lender.
Pennsylvania Pre-Settlement Funding Laws
In Pennsylvania, the statute of limitations for filing a personal injury lawsuit is generally two years from the accident date. Failing to file a lawsuit within that timeframe means your case cannot go forward.
If the accident involved a public entity, a notice of an intent to sue requires filing within six months.
Pennsylvania operates under a modified comparative negligence standard when it comes to liability. A plaintiff can bear up to 50 percent of fault and still recover damages. If they are determined by a jury to be 51 percent at fault, they cannot receive compensation.
Any award is reduced by their percentage of fault. For example, if a plaintiff is found to be 20 percent at fault by the jury, a $100,000 award is reduced to $80,000.
Learn More About Pre-Settlement Funding in Pennsylvania
If you would like to know more about pre-settlement funding in Pennsylvania 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 Philadelphia, Pittsburgh, Allentown, Erie, Scranton, and areas throughout the state.
