Compare Lawsuit Loans was created to help plaintiffs navigate the pre-settlement funding industry. We hope that this website encourages plaintiffs to take the time to compare rates and terms and get the best deal possible on their lawsuit advance.
Over the course of the last two and a half decades, many lawsuit loan companies have taken advantage of the lack of regulation in the consumer litigation funding space. Many funding companies have misinformed customers and charged egregious rates on advances.
Competitive pressure is slowly changing the industry for the better. But, the industry is still fragmented. There is very little pricing transparency from many of the largest funding companies in the industry.
First and foremost, this website seeks to empower plaintiffs to make better financial decisions. We do this by informing plaintiffs and helping them compare funding options in a more meaningful, insightful, and effective manner.
Secondly, we hope to be a driving force for change in the industry. Our goal is to encourage companies to disclose information about rates and fees to plaintiffs upfront – even before they apply.
About Our Ratings
Our ratings are based on an in-depth review of pertinent information. We rate dozens of companies based on the following metrics.
- Consumer Reviews
- Pricing Transparency
Our ratings will be updated from time to time. Company profile pages and ratings are updated as of the date shown at the top of the article. Companies interested in a re-review of their rating may submit an overview of any updates to their practices, website, or pricing to [email protected]. We will be happy to re-review available information and determine if a change in our rating is warranted.
Our “Consumer Reviews” rating ranges from one to five stars. It is a weighted average of aggregate ratings across Google, Yelp, and BBB. We also include BBB complaints – we assign a 1 / 5 rating value to BBB complaints submitted over the last three years and include them in our weighted average.
Our “Pricing Transparency” ranges from one to five stars. This measures the extent to which a company provides clear and specific information about rates and fees prominently on its website. Here, prominently means that the information is contained on a company’s website home page, about page, FAQ page, or how it works page and within one click from the company’s home page. See below for a list of factors and how they contribute to a company’s star rating.
Add 4 Stars: Specific rate and fees or aggregate payback information for various advance amounts in the form of a calculator, chart, or table detailed prominently on a company’s website with language indicating that quoted terms including rates and fees represent a typical contract. The information provided must be sufficient to calculate the cost of an advance of any given dollar amount for any given amount of time.
Stars Added for Information About Rates
Add 1, 1.5, or 2 Stars to Pricing Transparency Rating based on which one of the following criteria best describes a company’s rate information available on the web.
Add 2 Stars: Specific rate information with language indicating that quoted terms represent an average or typical contract
Add 1.5 Stars: A range rates where the difference between the high and low rate is less than or equal to one percent (1%), monthly
Add 1 Star: A range of rates where the difference between the high and low rate is greater than one percent (1%), monthly
Stars Added for Information About Fees
Add 1, 1.5, or 2 Stars to Pricing Transparency Rating based on which one of the following criteria best describes a company’s fee information available on the web.
Add 2 Stars: Specific fee information with language indicating that quoted terms represent an average or typical contract
Add 1.5 Stars: Basic information about fees with dollar values included
Add 1 Star: Basic information about what fees are charged without dollar values included
Stars Added for Information About Caps
Add 1 Star: Specific information about whether or not there is a cap on the accrued interest or payback amount
Stars Added for Information About Type of Rate Charged
Add 1 Star: Specific information about whether the rate charged is simple or compounding
Our “Cost” rating ranges from one to five stars. It is based on fee information available online or contracts submitted by consumers. Our Cost rating is determined by the following schedule. “Net Funding” is defined as the amount a plaintiff receives in their account or via check after all fees. We will base all calculations on Net Funding of $5,000.
- 5 Stars: Total cost including rate and fees is less than or equal to 30% of Net Funding before 6 months and less than 120% at 36 months plus one day
- 4 Stars: Total cost including rate and fees is less than or equal to 30% of Net Funding before 6 months or less than 120% at 36 months plus one day
- 3 Stars: Total cost including rate and fees is less or equal to 50% of Net Funding before 6 months and less than 200% at 36 months plus one day
- 2 Stars: Total cost including rate and fees is less than or equal to 50% of Net Funding before 6 months or less than 200% at 36 months plus one day
- 1 Star: Company provides a fee model that does not meet the above criteria
- NA: Cost information not disclosed on website and unable to be located online
Our aggregate rating is a rounded average of the three categories listed above. If we are unable to provide a rating for one or more categories, our aggregate rating is a rounded average of the ratings for the remaining categories.
Please direct all inquiries to [email protected].