Lenders are required to disclose their interest rates, but they often hide it in the fine print.
Lawsuits can take a long time to settle. There’s rarely a clear-cut way to end litigation after an accident. Either the other side settles quickly or they fight you every step of the way. Even a settlement without a trial can take months or even years to complete.
In the meantime, you have bills – medical bills, your regular monthly expenses, legal bills – and likely no income because you are out of work. This is the point where most people turn to pre-settlement funding. While these services can be a lifesaver, it pays to know how to recognize when a pre-settlement offer is shady.
They Ask You to Pay Back Money You Didn’t Borrow
Jim has been hurt in an accident with a tractor-trailer, and now he is out of work. The bills are piling up, and he is still waiting for his case to conclude so he can get his money. He turns to a pre-settlement company to get an advance.
Before he signs the loan documents, his ex-wife loans him the money he needs. He never completes the loan application. A few weeks later, he starts to get calls from collection agents alleging he has to repay the loan from the pre-settlement company.
Jim has probably been the victim of a scam. The scammers likely got his information from his online request for information. Jim should refuse to pay anything and contact his attorney.
A reputable Atlanta pre-settlement funding…