Since the Access to Justice Act came into force in 1999 the UK has followed the American trend of lawyers chasing No Win, No Fee claims. This has caused a boom in business for them while at the same time putting their cashflow under severe strain.
This has led to a new opportunity in Litigation Funding whereby private investors provide capital to enable lawyers to take on more cases in return for paying interest on the funds. We have partnered with a specialist provider of these loans to offer a Litigation Loan Note that is used for small claims in areas like road traffic accidents, housing disrepair and the ‘son of PPI’, Plevin claims for unfair commission charges. The outcome of each case is known before funding and any risk is covered by After The Event Insurance, so that more than 9,000 successful claims and no losses have been processed in the 18 months that the provider has been offering this facility.
You can invest for 12, 24 or 36 months and receive a coupon of 10%, 11% or 12% paid quarterly. There are six layers of security in place and we can share updated loan book and management accounts with you on request.
If you’re targeting regular income to cover school, university or care fees or to enhance your own income this could be of interest to you.