Legal Funding With Prior Advances
Seeking legal funding but already received a prior advance on your case? This article is for you. Continue reading for more insight on how this may affect your legal funding eligibility.
Maybe you didn’t receive enough of an advance from your prior funder. Or maybe you’re having other issues with them. Whatever the case may be, you are reading this because you need an additional advance. The following example shows how this additional advance can affect your new funder and interest rate.
Let’s say that your first advance was from Company X. They gave you $1,000. When you then reach out to Company Y for more money, Company Y pays the initial Company X what is owed (let’s estimate that is $1,300) and then gives you an additional amount (let’s say $1,000). In short, the new legal funder buys out the previous legal funder. You receive a total of $1,000. However, you are now charged interest on the total of $2,300 moving forward.
With prior advances, it is a bit trickier to obtain additional legal funding. The new legal funding company has to be willing to shell out more money. If you have a strong case, however, a prior advance should be no problem. Just make sure that the new funder pays the prior advance in full. This reduces confusion with your new funder and ensures that the first funder won’t go after your settlement. It is a warning sign for funding companies when they come across a plaintiff with multiple prior outstanding advancements. This usually a breach of the prior legal funding contract.
Got a High Rate? Refinance Your Initial Legal Funding With Uplift
While many lawsuit funding companies avoid legal funding with prior advances, Uplift specializes in refinancing legal funding. Because of legal funding minimum payoffs, this may not be helpful in every case. However, in certain cases, we have saved plaintiffs thousands of dollars. Uplift representatives are happy to crunch the numbers for you and determine if refinancing your prior advance is right for your case.
What most people don’t know is that you don’t have to get additional funding to refinance your prior legal funding advance. While there are now a decent amount of reputable legal funding companies, there are still some lawsuit loan sharks out there that will charge you very high rates with unclear terms.
Even if you’ve made a mistake with previous funding, we’re happy to help make it right. Uplift will even negotiate down liens with other legal funding companies to save you money.
Uplift Provides Legal Funding on Lawsuits With Prior Advances
Do you need legal funding with prior advances? We admit, it is a bit daunting to those who are new to a lawsuit. Feel free to reach out to Uplift Legal Funding with any questions. We always take the side of the plaintiff, and want to make sure that you receive the necessary financial assistance to be able to obtain a fair settlement.