Having enough money to fully pursue a case is very important especially when you’re not sure how long proceedings will take before you can receive financial compensation. Your savings can only go so far before you realise that you need to find financial help.
One way you can find money to pay for your legal fees is to look for litigation funding. Litigation funding is where a third party company will loan you money to help cover the costs of your court case. You’ll find that many litigation funding companies will only help if the case is worth over 3 million.
If you have a smaller case and you can’t turn to litigation funding then there are other alternatives you can take to help you financially.
Loan from Family or Friends
Your family and close friends can be very good to turn to when in need of financial help. One of the main advantages to this is that there’s no interest so you can pay them back slowly. If your case seems to be dragging on for a few months then you know that your family will always be there to support you and you won’t be pressured by a funding company to pay it back. If you do take longer to pay it back than the timescale you promised then you can always pay them back with small tokens of thanks such as giving them a little bit of extra cash or taking them out for dinner.
Personal Loans
A personal loan from the bank to pay for your legal fees is another option but it’s not such a promising one. Banks aren’t very keen on lending out money to pay for legal cases, especially where the outcome is unpredictable. They have done in some cases though so it’s always worth a try if you’re struggling.
Just like legal financing, there are certain criteria that you need to meet before getting funding and even loans from people who you know and trust might not be the best choice. As legal fees can be quite expensive, it’s hard to find people who are willing or who can even afford to lend such a large sum of money. Litigation funding companies can be your best choice as they have the experience to help you financially through your case and can advise you whereas family members might not be so helpful.
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