Chicago Injury Lawyer Blog
If you have been injured by the fault of another in Chicago or anywhere else in the State of Illinois you may be confronted with large medical bills. You might also be missing work due to an injury and therefore you might find it hard to pay for your necessities, let alone your medical bills. It is this type of all too common scenario that has allowed case loan companies to flourish throughout Illinois and the rest of the country. A case loan provides up-front cash to an injured party with a pending lawsuit. Most of these case loans are issued to victims of automobile accidents, workplace injury, wrongful death, or medical malpractice. Case loan advances are particularly attractive to individuals with bad credit as case loan outfits will approve loans without a credit check. The case loan company concerns itself only with the merits of a pending lawsuit in approving a loan.
Injured persons looking for a means to pay bills are inevitably attracted to case loans as they typically come in the form of non-recourse cash advances. In other words, the injured person does not have to repay the advance if the lawsuit is unsuccessful. Additionally, if the ultimate settlement or verdict is smaller than anticipated, the amount that is repaid to the loan company will not exceed the settlement or verdict. While these case loans are very attractive to injured parties looking for a way to pay their bills, they almost always carry devastating interest rates. For example, an injury victim that takes out a $20,000 dollar loan against his or her case could end up owing the loan company $100,000 after fees and accrued interest. If the case settles for that amount, the loan company will end up taking monies awarded for future medical and/or permanency in profit.
In conclusion, if it is too good to be true, then it probably is. Case loan companies that offer advance non-recourse cash on a pending injury case thrive by making profits off monies that should go to a personal injury victim on the back-end. If you have any questions regarding personal injury case loans or would otherwise like to speak with an attorney, please click here.