If you’ve been injured in an auto accident you’re likely facing difficulty meeting your everyday expenses, especially if you’ve sustained severe injuries that leave you unable to work while trying to regain your health.
When you’ve filed a lawsuit to recoup your medical costs, you are often left waiting for a settlement from an insurance company or a court verdict. It’s not unusual for personal injury cases to last for months or even years.
The good news is you can get a loan on your car accident future settlement! This type of legal advance on your pending case is often referred to as pre-settlement funding or a lawsuit loan.
Funding companies such as Stonewood Funding offer funding to accident victims which provides you with a portion of your expected settlement or accident claim in advance, giving you a source of funds that you can use to live on.
These loans are based solely on the facts of your case and are not based on your credit history or credit score, so individuals with bad credit can still qualify.
How Do Car Accident Loans Work?
Individuals who have been in motor vehicle accidents and have filed a lawsuit for monetary compensation related to the crash are eligible to apply for a lawsuit loan.
The process starts with filling out an application with Stonewood Funding.
After the application has been filed, Stonewood Funding will contact you to discuss the facts concerning your case and the injuries you have sustained. We’ll obtain information regarding your insurance and the personal injury attorney representing you.
Most of the lending approval process occurs between your attorney and Stonewood Funding. Your attorney will need to provide information on the likelihood of success in your case and its estimated value.
Finding time in your attorney’s schedule is usually the most challenging part of getting a loan. Understandably, attorneys are very busy with clients and court appearances. However, our friendly loan specialists will need to speak with them to finalize funding.
Once you have obtained your loan, you can use the money to pay your bills and meet your regular expenses until your case is finalized. There are no restrictions on how you spend your cash advance.
What If I Need My Settlement From My Car Accident Right Away?
Waiting for a car accident lawsuit to settle can take months or even years. If you’re unable to work due to your injuries, it can make matters even worse. Obtaining an accident loan can get you the money you need while recovering from your injuries and waiting on your court settlement.
At Stonewood Funding, we can provide you with the funding you need very quickly, many times within the same business day. However, to obtain same-day financing, you will need to have all of the information we need, and we will need to speak with your attorney.
Oftentimes, funding delays occur because we cannot reach your attorney. You can help facilitate the process by asking your attorney to call us at a time that fits their schedule. Your attorney will also need to be available to sign the funding contract.
Once you and your attorney have approved and signed the lending contract, we can immediately begin the bank transfer for your loan.
If you cannot complete the process in one day, don’t worry. We can usually provide funding the following business day as long as all lending requirements are met.
How to Apply for a Loan on a Settlement from a Car Accident
You will need to follow a few steps to obtain your pre-settlement funding:
Step #1: Fill Out the Online Application
You can start the process by filling out our free online application.
Our application asks for a few details, including your name, email address, and phone number. You will also be asked to indicate what type of personal injury lawsuit you have filed and the contact information for your attorney.
If you prefer speaking with someone rather than handling your application online, you can call us at 844-544-3863.
Step #2: Notify Your Attorney
You’ll need to contact your attorney to let them know that Stonewood Funding will be contacting them regarding your lawsuit. This notification is a crucial step, as attorneys cannot discuss the details of your case with third parties due to attorney-client privilege unless you provide your approval.
If your attorney knows you have applied for funding with us, it will be easier to speak with them and expedite your funding process.
Optional Step: Ask Your Attorney to Contact Us
Most attorneys have a full schedule involving client meetings and court appearances daily. While we are happy to contact your attorney to discuss your lawsuit, in many cases, it’s best for them to call us when they have time. We always have someone available to speak with your attorney and facilitate the settlement loan process.
Step #3. Provide Us with Relevant Information Regarding Your Car Accident
You’ll need to provide us with all of the relevant information about your car accident. The information given can help us to approve your litigation funding. You and your attorney should be able to provide us with the details of what led to your car accident, info about injuries sustained, and copies of your medical bills.
The details obtained will be used to determine an estimated value of the case and how much we can provide you with in the form of a cash advance.
Step #4: Review and Approve the Funding Contract
We will provide you with a loan agreement, which you should review thoroughly with your attorney. The loan agreement provides you with the amount you are eligible to receive from us and fees associated with the loan, such as interest, origination fees, and transaction costs.
The funding contract also provides the terms and conditions related to the loan. Make sure to thoroughly read and understand the contract before signing the agreement. Both you and your attorney are required to sign.
Step #5: You Get Your Funding!
Loans approved for our customers are transferred to your bank account via direct deposit. You will typically receive your funding within one to three business days. Our loan specialists can provide details on when you should be able to obtain your loan.
When Should I Consider Filing a Lawsuit over a Car Accident?
The decision to file a lawsuit over a car accident is a personal one. Some accidents are relatively minor, resulting in little property damage and no injuries. In these personal injury cases, filing a claim is usually unnecessary.
Issues arise when someone has been seriously injured. Serious injuries can require time away from work and a lengthy recovery period. If you’ve been seriously injured due to a car accident, you’ll likely need money to help you pay your medical bills and recoup the cost of lost income.
In this situation, it’s best to file a lawsuit. A lawsuit can ensure that you obtain the money you need to cover all of the costs of your car accident — past, present, and future.
Are You Ready to Apply for Pre-Settlement Funding?
If you don’t know how long it will take to see your settlement, it’s time to take action.
Funding companies can help you obtain funding that you can use to pay your bills and receive the financial assistance you need.
How Do I Qualify for a Car Accident Settlement Loan?
To qualify for a car accident loan, you must have been in a motor vehicle accident and filed a personal injury lawsuit. Our funding company will consider the facts of your case, including the injuries you have sustained and the circumstances of how they arose.
There is no credit check involved when applying for pre-settlement funding. Funding companies determine the amount to be lent based on the expected value of your case outcome.
Are Car Accident Loans Regulated?
Personal injury loans are not considered typical loans regulated by the financial services industry. Due to their nature as a form of non-recourse lending, car accident loans often have high-interest rates and large origination fees.
As non-recourse lenders, lawsuit loan companies cannot recover the amount lent unless you receive a settlement for your motor vehicle accident. Our terms and conditions outline the total cost of your loan and what happens if you lose your claim. Make sure you fully understand your loan requirements before accepting pre-settlement funding.
How Do I Recover Financially from a Car Accident?
Car accidents can be financially devastating. Your car may need to be repaired or replaced, and you may have extensive medical bills that will need to be paid. If you cannot work due to the injuries you have sustained, it can create the perfect financial storm.
However, all is not lost. While it can take time to recover financially, a successful personal injury lawsuit can help you get the money you need to pay off your medical debt and meet your regular expenses.
If the courts or an insurance company holds up your lawsuit, pre-settlement funding can act as a buffer, filling in the financial gaps while you await your money from your case.
What If I Lose My Car Accident Case? Will I Have to Repay My Lawsuit Loan?
As a non-recourse funding company, Stonewood Funding absorbs the financial loss from your loan if you fail to win your case. We will not chase you for loan repayment, and you will not owe us a dime. Similar to personal injury attorneys who operate on a contingency fee, we only get paid if you do.
Ensure that you thoroughly read through our terms and conditions to understand the repayment procedure if your settlement does not fully cover the cost of your attorney and the loan. We want you to be entirely comfortable with the lending process before agreeing to pre-settlement funding.
Is Funding for Lawsuits Available in Every State?
Not all states allow litigation funding. Some states have specific requirements that designate the types of loans available to individuals awaiting the outcome of a lawsuit. To determine whether you are eligible for a loan, it’s best to reach out directly to us.