Simple Fee Payment Plan
FUNDING THE DISBURSEMENTS INCURRED RUNNING PERSONAL INJURY CLAIMS
Simple Fee Payment Plan
How does the Simple Fee Payment Plan work?
Simple Fee Payment Plan – From 50 cents per day
The Simple Fee Payment Plan involves Legal Funding Australia paying the various disbursements on your behalf and a service fee is paid for this arrangement.
The beauty of the Simple Fee Payment Plan is how easy it is to work out what the service fee costs per day
Under the Simple Fee Payment Plan, you would email a copy of the disbursement to us and we would pay the disbursement on your behalf, direct to the issuer of the invoice (either by EFT or cheque), within a 24 hour service level.
When the matter settles (or within 30 months of payment being made) you simply pay us back the amount of the disbursement plus a fee based on the amount of the disbursement.
The fee is then charged as a disbursement to the client and re-imbursed from the settlement proceeds.
There is no paperwork for the client to sign as we are providing a payment service to you direct and we are not dealing with the client.
How is the Service Fee Calculated
The Service fee is based upon the amount of each invoice and it’s really simple.
If the disbursement is over $1,000 then it’s the first number of the invoice (up to $9,999); the daily fee is set out as follows:
$1.00 – $999 = 0.50 cents per day until payment in full.
$1,000 – $1,999 = $1 per day until payment in full.
$2,000 – $2,999 = $2 per day until payment in full.
$3,000 – $3,999 = $3 per day until payment in full.
$4,000 – $4,999 = $4 per day until payment in full.
$5,000 – $5,999 = $5 per day until payment in full.
$6,000 – $6,999 = $6 per day until payment in full.
$7,000 – $7,999 = $7 per day until payment in full.
$8,000 – $8,999 = $8 per day until payment in full.
$9,000 – $9,999 = $9 per day until payment in full.
The fees quoted above are GST Exclusive.
Example of the Simple Fee Payment Plan in Action
If the invoice was for $1,650 and settlement occurred 185 days after payment then the Service Fee is $185. If it settled after 12 months then the Service Fee would be $365
No Documentation is required to be signed by the Client
There is no loan documentation required to be completed by or explained to your client. The relationship is purely between Legal Funding Australia and your firm and underpinned by a trade agreement between Legal Funding Australia and your firm.
The terms of the Simple Fee Payment Plan could be incorporated into your fee retainer with the client so that if we pay a disbursement on your behalf the client is made aware of the fees we charge by virtue of the retainer agreement.
Furthermore, your firm is not obligated to use a specific service provider for your reports/disbursements, and we will fund various types of disbursements, not just restricted to medical.
This latest Fee Model adds to the diverse range of lending products that Legal Funding Australia currently offer their law firm partners.
We understand that each case is different and may require specialised lending services.
The Simple Fee Payment Plan is in addition to our traditional Disbursement Funding Loan Product.
It is ideally suited for the cases with one or two disbursements, smaller disbursement amounts and where settlement is expected in the short term.