Legal funding pricing isn't simple, and any company that tells you otherwise is hiding something. Here's exactly how our fees work, why they exist, and what protections we build in to keep your repayment fair.
Every funding agreement we issue has three components: the funded amount (what you receive), the fee structure (how charges accrue over time), and the repayment cap (the maximum you'll ever owe). All three are written into the agreement before you sign, with worked examples showing what you'd repay if your case settles in 6, 12, 18, or 24 months.
We do not charge application fees, underwriting fees, processing fees, wire fees, or any other upfront cost. If your case doesn't qualify or you decline an offer, you pay nothing. If you accept funding and your case loses, you pay nothing. Our entire compensation comes from successful case outcomes.
Legal funding fees are higher than traditional loan interest because the underlying risk is higher. Roughly 10 to 20 percent of funded cases ultimately fail to repay — either because the case loses, the defendant lacks coverage, or the settlement is smaller than expected. The fees on successful cases have to cover that risk across the entire portfolio. Without that math, the product can't exist as non-recourse funding.
The honest answer: funding fees only make sense if the alternative is a worse outcome. If you can pay your bills without funding, you usually shouldn't take it. If the choice is between funding and accepting a settlement that's $30,000 below fair value just to get money sooner, funding usually pays for itself many times over.
Most of our funding agreements include rate caps that stop fees from accruing after a certain period — commonly 24 months, sometimes 36 depending on the case. Once the cap is reached, your maximum total repayment is fixed, regardless of how long the case takes after that. This protects you from the worst-case scenario of a case dragging on for years.
Some states impose additional consumer protection rules on legal funding: required disclosures, format requirements for agreements, and rate caps imposed by statute. We comply with all applicable state regulations and will let you know during the offer stage if your state has specific requirements.
Suppose you receive $5,000 in funding on a case that settles 18 months later. Depending on the case profile and state, your total repayment might be in the range of $7,500 to $10,000 — the principal plus accumulated fees. The agreement will spell out the exact figures for 6, 12, 18, and 24 months so you can see how the math works at each interval. If the case has a 24-month cap and settles at 30 months, you still only repay the 24-month figure.
For a much larger advance ($50,000 against a case worth several hundred thousand), the proportional math works similarly. The percentage doesn't really change with size.
Funding is one of the few financial products where shopping around genuinely helps. Different funders price risk differently, and the offers you receive on the same case can vary substantially. We encourage you to compare offers, share them with your attorney, and choose the one with the best combination of price, terms, and trust. We'd rather lose your business to a competitor than have you sign an agreement you don't fully understand.
No upfront cost. No obligation. Compare it to other offers and decide what's right for you.