Legal Cost Finance launches revolutionary financing solution to assist both consumers and lawyers
24 Oct, 2013
The new Legal Cost Finance (LCF) service will allow consumers to benefit from discounted legal fees and extended repayment periods, while giving lawyers the comfort of an approved credit line and timely payments
Legal Cost Finance (LCF) has today (24th Oct) launched a revolutionary new service aimed at easing the burden of legal bills for consumers and smoothing earnings for lawyers.
Set up by established legal broker Dr. Yuri Rapoport, LCF will assist the consumer through the following services:
• Up-front legal funding through a tailored financing solution suitable for all types of legal matters;
• Significant discounts from solicitors, negotiated by LCF experts;
• Proven contractual mechanisms to control solicitor costs, ensuring fulfilment of their contract and giving progress updates on cases;
• A panel of legal experts to offer second opinions on legal advice, and post-advice support.
LCF offers direct legal funding through a tailored payment card or direct loan, with an interest rate that is significantly lower than the discount that LCF negotiates from legal advisors on the client’s behalf. As such, it is cheaper to finance a legal bill through LCF than to pay it outright.
Financing is provided by UK financial institutions and private funds, all of which are licensed under the Consumer Credit Act 1974 and/or the Financial Services and Markets Act 2000.
Unlike ‘litigation funding’, which is limited to contentious legal cases and claims a stake in the proceeds of a case outcome, LCF provides ‘direct financing’ that is not restricted to any type of legal matter, not tied to the chances of success and available for all types of legal costs. LCF will also obtain a solicitor’s report stating the merits of the case, ensuring consumers are protected from potentially irresponsible advice.
LCF’s service also means that, for the first time, clients can avoid paying expensive solicitor fees out of their own pockets ahead of the resolution of their case, and instead enjoy the comfort of paying their legal bill in instalments over an extended period.
For lawyers, LCF provides the comfort of immediate payment from clients and the assurance of income streams from future billing, in this way circumventing protracted disputes over legal costs. LCF can provide additional support for law firms through its legal referral service and ongoing case management services between lawyers and clients.
Dr. Yuri Rapoport (pictured), founder of LCF, commented: “By managing costs and streamlining the legal process, LCF can play a crucial role in easing the client-solicitor relationship and we are very excited about launching this revolutionary new service.
“Currently, the real threat of significant hidden or unexpected costs discourages many people from pursuing legitimate legal complaints and hinders the success of cases already in motion.
“LCF has developed a service that will benefit both consumers and the legal profession. Law firms can be confident that they will receive full payment from LCF within the agreed timeframe, while clients can be reassured that a highly experienced and accredited third party is monitoring the application of their finances and consistently acting in their best interests.”
Ashley King-Christopher, partner at Speechly Bircham, commented: “Yuri has worked with Speechly Bircham in the past, his deep knowledge and expertise in the management of legal cases having greatly benefited both ourselves and the client. We view the services offered by Legal Cost Finance as a key innovative financing initiative in the legal services industry, which should help both law firms to more easily predict their cash flows and clients to better manage their legal costs more effectively and with greater peace of mind”.