Lawyers have a hard time recommending other professionals to their clients. By not endorsing anyone, the lawyer, always looking for ways to reduce or minimize risk, has no exposure should that relationship go bad. Lawyers are often wary when considering pre-settlement financing for their clients’ lawsuits. Unless the client asks, few lawyers recommend that clients take out cash advances, pre-settlement, for their pending lawsuit. If you are a practitioner in personal injury or workers’ compensation claims, it is important that you understand pre-settlement cash advances and who the reputable players are in that industry.

Step One: Understand the Financial Instrument 

What is a pre-settlement loan? The consumer legal funding industry provides plaintiffs with immediate financial assistance while their credible personal injury claim is adjudicated for settlement before or at trial. Pre-settlement cash advances are used by plaintiffs to survive or cover the basics of living – medical bills and expenses, housing, shelter, and transportation – while their lawsuit is pending. These cash advances are not loans. Plaintiff’s do not pay a monthly fee, but rather are required to repay the cash advance they received from any monetary award they receive in their lawsuit. Especially in matters where the injuries are severe and the period of incapacitation is long, your client may be out of work and need financial assistance while their lawsuit is pending.

Step Two: Evaluating the Pre-Settlement Loan Financing Company is Easy

Some lawyers are under the mistaken belief that pre-settlement cash advances are a predatory lending instrument. Every industry, whether automotive, financial services, or real estate, has businesses that seek people with limited financial means to solve real world living problems by providing financing, often at high interest rates, to fund the purchase of a car or house, or to obtain credit. The legal pre-settlement financing industry is no different, and may also have some of those players.

As a lawyer in a personal injury or workers’ compensation practice, you should be aware of organizations like the American Legal Financing Association or ALFA, who are charged with developing standards and vetting the players in the consumer legal funding industry. ALFA is a trade association focused on ensuring fair, ethical, and transparent funding standards within the consumer legal funding industry. For more information visit the ALFA website at

To bridge the financial gap during your clients’ recovery, consider pre-settlement funding.

Capital Financing provides pre-settlement financing to plaintiffs who have been hurt in an accident and are pursuing personal injury lawsuits and workers’ compensation accident claims. We arrive at a loan amount after we review your client’s case by examining their medical record, accident reports, the pleadings, any court submissions, and wage and income records. The loan amount is a cash advance on the case settlement and is paid back at the conclusion of the lawsuit. Ask us how pre-settlement funding can help your client. Your client can Get Approved for a pre-settlement cash advance directly by calling us, toll-free at (888) 247-6998. Georgia residents can call (404) 348-4475 directly.