Life has been tough ever since your accident. You cannot work, and your medical bills are piling up. You worry about having enough money to pay your rent or mortgage and keep food on the table. Because another party caused your injury and you have filed a personal injury lawsuit, you know you should receive a settlement, but that can take months or even years. How are you going to keep your head above water until then?
The answer lies in Texas pre-settlement funding. Although pre-settlement funding is sometimes described as a lawsuit loan, that is not accurate. It is actually a cash advance against your settlement, which serves as collateral.
There is no background check, and pre-settlement funding does not affect your credit score.
Applicants usually receive up to 20 percent of their anticipated settlement amount. You are free to use this money in any way you want.
Insurance companies like to drag out settlements for as long as possible, hoping to wear down accident victims so they will accept a lower offer. Pre-settlement funding in Texas gives you breathing room while you wait to receive the compensation you deserve for your injuries.
How Pre-Settlement Funding Works in Texas
In Texas, you can apply for lawsuit funding at any time during your case. You must be engaged in a current personal injury lawsuit filed in civil court. Your attorney must agree to work with us for eligibility. Lenders must know the strength of your case before pre-settlement funding is approved.
In Texas, pre-settlement funding is also known as lawsuit loans. It involves receiving an advance against your future settlement. The lender assumes this risk if your claim fails or a jury rules against you; you are not obligated to repay the loan.
Once your claim is settled or your lawsuit is won, you pay back the lender.
Texas Pre-Settlement Funding Laws
In Texas, the statute of limitations for filing a personal injury lawsuit is generally two years from the date of the accident. Failing to file your lawsuit by this deadline means your lawsuit cannot go forward.
However, if the accident occurred on public property or any type of government entity is involved, you must file a claim within six months.
When it comes to liability, Texas is a modified comparative negligence state. As long as a plaintiff is less than 50 percent at fault for the accident, they can sue for damages. They cannot receive compensation if they are more than 50 percent responsible.
Award amounts are reduced by the percentage of the plaintiff’s liability. For instance, if a jury determines you were 25 percent at fault for the accident causing your injuries, a $100,000 award is reduced to $75,000.
Learn More About Pre-Settlement Funding in Texas
If you would like to know more about pre-settlement funding in Texas and how it can help you, contact Mustang Funding today. If approved, you may receive your funding in as little as 24 hours.
Our services are available throughout the state, including Austin, Dallas-Fort Worth, El Paso, Houston, and San Antonio.
