How Pre-Settlement Funding Works: A Plain Guide for Injured Plaintiffs

If you were hurt in an accident and have a lawyer handling your case, you may have heard about pre-settlement funding. You may also have questions. What is it? Who gets it? How is it paid back? This guide walks through the basics in plain language.

What pre-settlement funding is

Pre-settlement funding is money advanced to an injured person while their lawsuit is still pending. It is based on the expected value of the case, not on your credit or your job. The idea is simple. Personal injury cases can take a long time. Bills do not wait. Funding gives you some breathing room while your attorney works toward a fair result.

At Green Street Funding, our funding is non-recourse. That means you repay only from money you recover in your case. If your case is lost, you owe nothing. You do not make monthly payments, and nothing comes out of your paycheck.

Who can qualify

Most people who qualify share a few things in common:

• They were injured because of someone else's negligence or wrongdoing.
• They have a personal injury attorney working on a contingency basis.
• Their attorney is willing to share case documents and acknowledge the funding.
• Their case has a realistic path to a recovery, such as available insurance.

We review many kinds of cases, from car accidents and construction injuries to medical malpractice and civil rights claims. You can see the full list on our cases we fund page. Availability varies by state.

The steps, one at a time

1. You apply. The application takes a few minutes. We ask for basic contact information, a short description of your accident, and your attorney's name and phone number. There is no cost to apply.

2. We contact your attorney. We ask your attorney's office for key documents. These often include the police or incident report, medical records, and insurance information. Your attorney may also share their view of the case.

3. We review the case. Our underwriting team looks at liability, the seriousness of your injuries, available insurance, and how far along the case is. All funding is subject to underwriting approval. We do not look at your credit score to decide.

4. You receive an offer. If your case is approved, we send an agreement that shows the amount and the terms in writing. You should read it carefully and review it with your attorney before signing.

5. You receive the funds. Once the agreement is signed by you and acknowledged by your attorney, funds are typically sent soon after. Timing often depends on how quickly documents come back.

How repayment works

When your case settles or you win at trial, the money goes to your attorney first. Your attorney pays fees, costs, and any liens, then pays the funding company what is owed under the agreement. The rest goes to you.

If your case does not result in a recovery, the funding is not repaid. That is what non-recourse means. The funding company takes on the risk of the case, not you.

What people use the money for

There are no strict rules on how you use the funds. Most people use them for everyday needs while they recover:

• Rent or mortgage payments
• Utility bills and groceries
• Car payments or transportation to medical visits
• Child care
• Catching up on bills that piled up after the accident

The goal is stability. When you are not in a financial crisis, you are less likely to feel pushed into accepting a low settlement just to pay the bills.

What funding does not do

Funding does not change who controls your case. Your attorney still makes legal decisions with you. The funding company does not direct strategy, and it does not decide when or whether to settle. That choice remains yours and your lawyer's.

Funding also does not replace good advice. Nothing in this article is legal advice. Every case is different. Talk to your attorney about your specific situation, including any deadlines that apply to your claim.

A few tips before you apply

• Take only what you need. A smaller amount means more of your recovery stays with you.
• Read the agreement. Make sure you understand how the amount owed is calculated.
• Ask questions. A good funding company should explain its terms clearly.
• Keep your attorney informed. Your attorney should know about any funding you take.

If you are an attorney reading this, visit our attorney page to see how we work with law firms.

Ready to get started?

If you have a pending injury case and a lawyer, we would be glad to review it. It only takes a few minutes, and there is no obligation. Apply for pre-settlement funding today.

This article is general information, not legal or financial advice. Talk to your attorney about your specific case.

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