Your immediate financial needs after a car accident can be extensive. Even with insurance, your medical bills can be extensive, and your injuries have probably knocked you out of work, thereby leaving you without the income that you rely upon to support your daily living.
As a result, you might struggle to make ends meet, which can leave you threatened with vehicle repossession, utility shutoffs, and even mortgage foreclosure.
As scary as that can be, you shouldn’t despair. There are ways for you to cover your bills while you wait for the legal process to play out. Let’s take a look at some of your options.
Talk to your medical providers
Medical debt collectors can come across aggressively, which can be stressful, especially if they threaten to turn your debt over to a collection agency. But you might be able to avoid this outcome by talking to your medical provider upfront about your current inability to pay your debt.
By explaining the situation, in that you were hurt in a car accident and you intend to take legal action against the driver who harmed you, you might find that the hospital will be accommodating.
By having this conversation, you might find that your medical provider is willing to hold off on debt collection until your lawsuit resolves. They may ask you to sign an agreement that specifies that you’ll pay your medical debt once your compensated from your personal injury claim, that way their concerns about debt collection are alleviated. But this gives you significant financial relief in your time of need.
Consider a lawsuit loan
Even if you gain relief from your medical debt, you’re still going to have other bills that come due. This includes your rent or mortgage, utilities, and credit card bills. You’ll also need money to put food on the table and cover your other living expenses. Although you might have some savings to help you here, they can quickly erode as you focus on your recovery.
One way around this is to consider taking out a lawsuit loan. This loan aims to bridge the gap between when you’re injured and when your legal claim resolves, and the money can be used for whatever you need. However, there are risks with these kinds of loans, given that they carry interest, and they have to be paid back regardless of the outcome of your case. So, be careful here.
Turning to your support network
Another option is to ask your family and friends for help. After all, when your expenses are extensive, any bit of support that you can get is helpful.
But if you’re worried about how your family will react to your request, then you can try to alleviate their concerns by putting your borrowing arrangement in writing. That way, everyone knows the expectations and responsibilities, which will lessen the concern that you won’t pay them back.
Aggressively pursue your legal claim
In the long run, the best way to protect your financial interests is to aggressively pursue your personal injury claim. If you succeed in your case, then you might be able to recover compensation for not only your medical expenses and lost wages, but also your pain and suffering, mental anguish, and loss of enjoyment of life.