Once your Applicant’s case file is received by the advance company, as mentioned before, it is reviewed in-house and evaluated against the criteria established by that particular advance company (each advance company has slightly different standards…more on that later.) The analysis of the case by the advance company is concentrated upon the “Four Things the Advance Company Will Look For” and any case must pass their judgment. It should be noted that their scrutiny is very careful and detailed because the advance company will actually make contact (sometimes multiple contacts) with the Applicant and their lawyer. And they will usually ask for documentation to back the Applicant’s story. Also, they will do a deep Internet search to see if there is anything negative about the Applicant, such as an extensive criminal history or that they are a serial filer of lawsuits (they are more common than you may think.)
At this point, do not think that the advance company is trying to not make an advance to an Applicant. They are actually trying to help build the case. After all, the advance company is out of business if they don’t make advances. Those advances, however, just have to be for the right cases.
If the case passes this first advance company intake review, it is usually then passed on to a lawyer or, more likely, an underwriter, that administers the case much like an insurance underwriter. The advance underwriter evaluates the case primarily reaching a conclusion on the worth of the case and the probability of a future settlement or judgment.
If the case successfully passes all the reviews, an advance amount will be determined based on the underwriter’s opinion. The advance company then forwards an agreement to the Applicant that they can either sign or reject.
The agreement states the amount of the advance, the payback provisions (the advance company doesn’t hand out money out of the goodness in their hearts – they do charge fees and interest) and the most amazing part of it all: If the Applicant never gets a settlement or judgment (in other words, they lose their case), the Applicant never has to pay back the advance…never. That is why this is a “win-win” for the Applicant.
In addition, there’s another “win-win” for the Applicant: Unlike other money advances (unsecured signature loans, for example) it doesn’t’ matter if the Applicant is employed, unemployed, whatever…the advance company doesn’t care. And there’s more: There’s no credit check. Even if the Applicant has the lowest credit rating in history, it doesn’t matter. Once again, the advance company doesn’t care. The advance company only cares about the case.
When the Applicant signs off on the agreement, the money is quickly presented to them and the Applicant is very happy that they met you, their independent Case Broker, and so are you.