What exactly is a pre settlement loan? Pre settlement is the space of time after a claim has been filed but before the case has been resolved or the verdict has been rendered. Now, knowing that, I can better explain what a pre settlement loan is. It is a cash advance given to the person who has filed the claim so that they can pay current living expenses during a workers’ compensation case, for example, or to pay medical bills from a car accident, etcwhile you wait for your settlement. Generally speaking, there is no need for a credit check or income verification because you pay back the loan with the settlement, once it is released. If your case is not won then you actually do not have to pay anything back to the pre settlement loan companies.
Why would I want to sell my structured settlement payments? Well for one, it takes an average of 297 days for a case to be taken out of the pre settlement phase and that is not even when you would receive your money. At one time there can be almost 900,000 case in the pre settlement phase.
In what circumstances should I contact pre settlement loan companies? There are many reasons why you would be involved in a case that would award you a settlement but here are a couple of ideas to help you understand.
if you have been involved in a car accident that is not your fault and are expecting to receive a pay out. At this point insurance companies have to go through a lot of steps to ensure that you get the correct amount that you are entitled. If your car has been totaled or you have been injured this can prove very inconvenient. Selling an annuity settlement would help you receive the money a lot quicker so that you would be able to either pay for your medical expenses or procure a new vehicle in good timing.
Another reason could be if you happen to be lucky enough to win the lottery. The payout from the lottery can take months, sometimes years to actually get to you so at this point you could contact presettlement loan companies to obtain your cash faster. The payout from the lottery can take months, sometimes years to actually get to you so at this point you could contact presettlement loan companies to obtain your cash faster which could get to you within 30 days if it is an immediate annudity. Selling lottery payments can be very beneficial to you depending on what you were planning on using your payout for.
Like I said there are many reasons why selling your settlement payments could be beneficial but these are just two ideas of when it might be time to contact pre settlement loan companies.