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What is the Best Lawsuit Funding Company?

Lawsuit funding company brown wooden gavel on top 100 dollar bills of cash.

Disclaimer: The materials on this website (a) have been prepared by Express Legal Funding LLC (Express Legal Funding) for informational purposes only, (b) do not constitute legal advice, and (c) are not guaranteed to be complete, up-to-date, or accurate in all respects as laws are constantly changing.

Win or lose, lawsuits are costly and time-consuming.

Not to mention plaintiffs face hefty expenses outside the courtroom in medical bills and living costs.

The good news is, the best lawsuit funding company can help tremendously. But, before you apply for funding, you should first look at our list of the top 6 things you need to know about lawsuit funding.

Is Lawsuit Funding Good?

It is not uncommon for plaintiffs to initially be skeptical of consumer legal funding. Often, their unease about lawsuit funding comes from not knowing how it works. However, knowledge is power, and that’s why we wrote this guide about legal funding.

Lawsuit funding done right is helpful, ethical, and safe. It plays an essential role in today’s legal system by providing cash to plaintiffs so they can:

  • Take care of living expenses for themselves and their family.
  • Avoid going into debt from unexpected medical costs and loss of job income.
  • Payoff bills or debts.
  • Purchase items they suddenly need because of their accident.
  • Remain in the fight for justice and to get the settlement money they deserve.

This last point is a game-changer because pre-settlement funding can help injured and damaged plaintiffs survive financially during their case. It can give them the financial strength they need to not feel forced into settling their cases prematurely for low and unfair amounts. Deciding to settle a case too early can have adverse long-term effects on a plaintiff’s physical, emotional, and financial health.

Still, not every legal funding company can give you the same level of care needed to improve your financial well-being. So, clients need to do their research before accepting financial help. Our list of tips makes it easier for you to find the best and quickly disqualify the bad lawsuit funding companies. So you can find the pre-settlement funding company that can best help you and your attorney pursue the best possible outcome.

The best lawsuit funding company will:
  1. Respond to plaintiff inquiries promptly.
  2. Have easy-to-understand contract terms.
  3. Not charge upfront application fees.
  4. Offer competitive, reasonable funding rates.
  5. Have a non-recourse funding policy in non-loan states such as Texas and Oklahoma.
  6. Have a solid reputation.

1 – Fast Legal Funding

All bills have due dates. Lawsuits and courts have deadlines. When you are struggling financially, you cannot afford to work with consumer litigation funding companies that don’t care about you and are willing to let you wait around for answers and results.

First, you want a lawsuit funder that answers their phone 24/7 and starts working immediately to get you the cash you need within 24 hours of approval. Because they understand that you need money, and time is of the essence.

2 – Easy-to-Understand Legal Funding Contract Terms

Good personal injury lawsuit funding companies do not expect you to read and sign contracts full of legal jargon or fine print. They should:

  • Explain contract terms in easy to understand language
  • Be upfront about what kinds of cases they do and do not fund
  • Allow you to review the entire contract with your attorney before signing
  • Clearly show if they include fees and exactly what those fees are.

All of this ensures that you know what you agree to and choose a company whose terms are fair and honest.

3 – No Application Fees

When you seek lawsuit funds, you need money for essentials, not because you are looking to waste it. Suitable pre-settlement funding companies understand that and will not add to your financial burden by charging unnecessary fees.

Funding companies should never charge you multiple legal funding fees. Also, they should always have a real person available to assist you with applying at any time.

4 – Competitive Funding Rates

Different pre-settlement funding companies offer different rates.

We strongly recommend that you ask lawsuit funding companies about their rates. You can use an online calculator to check their math. It helps to ask them to clearly explain what fees they plan on charging you on top of their interest rate. These added fees can make a big difference in calculating the total interest rate. Also, make sure you know precisely how much you agree to pay if you do choose to go ahead and sign the funding agreement.

Understanding this information upfront is the foundation of a great legal funding experience.

How Untrustworthy Lawsuit Funding Companies Make Money:
  • They charge very high rates.
  • They charge heavily compounding rates.
  • They charge uncapped fees.
  • They charge application fees.
  • They charge usage fees, typically monthly usage payments.
  • They charge you double interest rates because they know you are unable to make monthly payments.

5 – Non-Recourse Funding Policy

If you pay your attorney on a contingency fee basis, you do not pay your attorney if you lose your case. In states like Texas and Oklahoma, a non-recourse funding policy is the consumer legal funding company’s equivalent to a contingency payment plan.

That means if you lose your case, the pre-settlement money advanced to you by the legal funding company is yours to keep. You won’t have to repay anything if you do not recover any money on your injury case.

You only have to repay the lawsuit funding company if you win your case or settle it to a final conclusion. Your repayment comes from the money the court awards you or the settlement money paid by the insurance company or defendant. So you never have to pay out of pocket.

Lawsuit funding can be your ultimate protection plan during a lawsuit. That’s why it’s essential that you only get help from a company with a non-recourse funding policy. (In the states where they can legally offer it). However, in some states like Missouri and Illinois, legal funding companies cannot legally provide non-recourse funding.

6 – Reputation

Finally, look for a funder with a solid reputation. Steer clear of lawsuit funders that appear to have decent terms but have a bad reputation in the industry.

Good funding companies will have clearly stated information and values. They will be friendly and easy to work with for both you and your lawyer.

Pros and Cons of Lawsuit Funding

It’s easy to apply for lawsuit funding, which provides cash to plaintiffs who need it. The application process comprises numerous safeguards that allow plaintiffs to make smart and informed decisions at each step of the way. Funding empowers plaintiffs to assert control over their lives and their finances during difficult and challenging times, which can be the difference between success and catastrophe for them.

Juggling one more thing on top of your lawsuit can feel like a burden at first, but making the call to start the funding process can lead you to a wonderful experience. Clients tell us, “we saved their lives!”

Learn More

If you are interested in legal funding for your lawsuit, don’t wait to get the information you need. Instead, contact Express Legal Funding now at (888) 232-9223 to speak to a specialist. Our funding experts will walk you through the short application process, answer your questions, and work to get you the immediate funding you need.

Author profile
Strategy Director at

Aaron R. Winston has more than ten years of experience in the consumer finance industry. Most of which was as a consultant to a financial advisory firm, managing $400+ million USD in client wealth. As Strategy Director of Express Legal Funding, he has devoted thousands of hours advocating for the consumer. He has become a leading expert in writing about pre-settlement funding. His work has been granted copyright protection by the United States Copyright Office.

Author profile
Managing Director at Express Legal Funding

Jeff Roth is a highly skilled Workers' Compensation injury attorney with over 30 years of experience. Jeff has successfully represented thousands of injured workers through his private law practice. Workers' Compensation attorneys rely on Jeff as an expert resource and mentor. Jeff graduated Magna Cum Laude from St. Louis University in 1981 and received his J.D. from St. Louis University School of Law in 1985. Jeff Roth is licensed to practice law in Missouri and Illinois. Both injury clients and attorneys love to work with Jeff.

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