Lawsuit Funding Cost Calculator

Pre-settlement (or "litigation") funding is a non-recourse cash advance to a plaintiff against an expected settlement. If you lose, you owe nothing. If you win, you repay the advance plus fees from the recovery. It is not technically a loan, which is why it is largely unregulated in most states.

Very. Effective annual rates commonly range from 30% to 60%+, and total payback often equals 2-4x the original advance after 18-24 months. A $10,000 advance can require $25,000-$40,000 from the settlement if the case takes two years.

Often yes. Attorney cost advances (most contingency firms front case costs at 0% interest), medical liens (providers wait to be paid from settlement), state disability or unemployment, payment plans with creditors, and traditional personal loans typically cost much less than litigation funding.

When the alternative is accepting a low-ball settlement out of financial desperation, foreclosure, or eviction. Always shop several funders, get the rate quoted as APR, and have your attorney review the agreement before signing.