- April 19, 2020
Redwood Funding Group never charges fees and never compounds the interest. One Fixed Rate of 15%. Borrow $1,000, You Owe $150 Every Six Months. That’s It!.
What is Pre-Settlement Funding?:
If you are the victim of an accident and have a lawyer then you are planning for a big settlement. Unfortunately, lawsuits can take a lot of time. There are investigations, discovery, medicals and court appearances. In the meantime, you might need money to pay your bills. You might not qualify for a bank loan and you may not have credit cards. The solution is to apply for a Pre-Settlement Funding & Cash Advance Settlement Funding.
How Does Pre Settlement Funding Work:
Most Pre-Settlement Funding companies want you to apply online at their websites. Then the Pre-Settlement Funding company will contact your lawyer and review your case. This review will give them an idea about what your case is worth and whether to fund you and how much. The Cash Advance Settlement Funding company will then send you a contract. When the contract is received back the Loan Company will send you the money. In most cases, no payment is required until your case is won or settled. The good news is that you get cash quickly upfront and the bad news is that when you settle you have to pay the Legal Funding Company back with interest.
How to Choose the Right Cash Advance Settlement Company:
There are a few things one should look into before choosing a Cash Advance Settlement Company.
The Pre-Settlement Funding company should be licensed to operate in your state. That’s pretty simple to find out. Just ask them.
Find out if they charge fees. Be specific to ask if there are application, underwriting, management, processing opening or closing fees. Also ask whether those fees are added to the principal when interest is calculated. You might be borrowing $1,000 but if the fee is $250 then you are paying interest on $1,250, not $1,000.
Next, ask then Cash Advance Funding company how much interest they charge, is it compounded and if yes, how often. Many Cash Advance Settlement Companies advertise very low interest rates, like 3%. However, if that 3% is monthly compounded then you are really paying about 70% a year interest on $1,250 in our example above. Compounded interest is interest based the previous periods interest and principal. Daily & Monthly compounded interest means you are going to pay a lot for your loan. A Fixed rate is usually cheaper.
Regardless of how much you think you might be getting from your lawsuit one can never be sure. Do not base what you are getting on what your relative or friend got. Every case is different. The best lawyer is the one who tells you he/she is not sure what the case is worth. The worst one is the one who says it’;s worth a lot. They are just trying to sucker you in.
Redwood Funding Group:
Redwood Funding Group never charges fees, ever. We also never compound the interest rate. We have one fixed rate of interest: 15% of what you borrow for each six month period you have the money. That is all you will pay. There are no hidden extras. Finally, we have a chart on this website that tells you exactly how much you will owe us for any given loan. We strongly advise you to call 2 or 3 other Pre Settlement Funding companies and ask:
- Do you charge fees?
- Do you compound your interest
- Exactly what will I owe for my loan after 1,2, and 3 years.
Redwood Funding Group wants to be your Pre-Settlement Funding Company. If your’re smart, you’ll give us a call (212) 349 2844 or fill out an Application.