Pricing Transparency

Who sets the price, and how to read it.

Rates, fees and terms are set by the independent capital provider and written in the provider’s agreement before signing. Where a state sets a limit, the state limit applies. This page explains how legal financing is priced in general, with arithmetic you can check.

How Pricing Works

Four terms to check in any funding agreement.

Simple Interest

With simple interest, interest accrues on the original advance amount only. A $10,000 advance at 3.0% per month accrues $300 per month, not $300 plus interest on prior months’ interest. Compound structures increase total repayment cost sharply on long cases. Ask which one an agreement uses.

Upfront Fees

Ask whether an application, review, origination, processing or administration fee is charged before funding is issued, and when each charge is deducted. The provider’s agreement should list every one.

Non-Recourse

Under a non-recourse agreement you owe nothing if your case does not resolve in your favor. Confirm in the agreement what happens if the case is lost at trial, dismissed, or settles below the advance plus accrued charges.

Hidden Terms

Check that no fees appear at closing that were not in the agreement you reviewed. Look for acceleration provisions that raise the rate on default and for late charges. The amount in the agreement should be the maximum repaid absent a renegotiation you initiate.

Who Sets Terms, by Product

Terms are set by the provider for each product.

Criterica Capital does not set or publish rates. The rate in your funding agreement depends on the provider and on case-specific factors. Rates and terms should be fixed in writing before you sign.

Consumer Pre-Settlement Funding
Individual plaintiffs
Pricing
Set by the capital provider and written in its agreement before signing
Set by the capital provider
Fee Structure
Any fees are listed in the provider’s agreement. Ask for a full list before signing.
Repayment
Typically case resolution only. Non-recourse funding is repaid only from a recovery.
Providers commonly weigh case type, jurisdiction, expected duration, and the strength of the case. Where a state sets a rate or fee limit, the state limit applies.
Law Firm Capital
Contingency litigation practices
Pricing
Quoted by the provider in its term sheet
Set by the capital provider
Fee Structure
Origination and other fees vary by provider, facility size and term. Disclosed in the term sheet.
Repayment
Often tied to portfolio-level recovery triggers. Structured at closing.
Firm facilities are commonly sized to the contingency portfolio. Providers weigh portfolio composition, win rate history, and duration profile.
Medical Lien Receivables
Medical providers and lien holders
Pricing
Set by the buyer
Discount purchase, priced by the buyer
Fee Structure
Any fees are stated in the purchase agreement.
Repayment
A purchase typically closes at signing, with no ongoing obligation, depending on the buyer’s terms.
Buyers commonly weigh lien collectability, jurisdiction, case strength, and expected recovery timeline.
Portfolio Finance
Law firms with 20+ active contingency matters
Pricing
Quoted by the provider based on portfolio composition
Revolving credit or term facility
Fee Structure
Commitment and unused line fees are common. They appear in the term sheet.
Repayment
Waterfall structures tied to portfolio resolution events are common.
Institutional facility terms are disclosed by the provider at engagement and are not subject to consumer disclosure requirements. All material terms should be in the term sheet before execution.
Worked Examples

What you pay at resolution, in actual numbers.

These examples use hypothetical rates to show how simple interest accumulates. They are not an offer or a quote from Criterica Capital. Your rate comes from the provider and is confirmed in your funding agreement.

Personal Injury, 12-Month Case
Advance
$10,000
Interest
$3,480
Total Repay
$13,480
Rate: 2.9% per month simple (34.8% annualized) · 12 months
Simple interest: $10,000 × 2.9% × 12 = $3,480. Interest computed on original principal only, not on accumulated interest.
Personal Injury, 24-Month Case
Advance
$10,000
Interest
$6,960
Total Repay
$16,960
Rate: 2.9% per month simple (34.8% annualized) · 24 months
Same rate, extended duration. Total cost scales linearly, with no compounding effect that sharply increases cost in year two.
Civil Rights, 18-Month Case
Advance
$15,000
Interest
$5,940
Total Repay
$20,940
Rate: 2.2% per month simple (26.4% annualized) · 18 months
A lower illustrative rate on a longer case, to show how the same arithmetic works at a different rate.
Employment, 20-Month Case
Advance
$8,000
Interest
$4,960
Total Repay
$12,960
Rate: 3.1% per month simple (37.2% annualized) · 20 months
A higher illustrative rate on a long case, to show how total cost grows with duration.

These are illustrative examples only. Actual rates are set by the provider and confirmed in your funding agreement before signing. Under many agreements, if the case resolves before the projected duration, interest runs only for the time the advance was outstanding. Check the agreement.

Simple vs. Compound Interest

Why structure matters, especially on long cases.

Some funders use compound interest. On a short case, the difference is minor. On a 36-month case, compound interest at a nominally similar rate can result in total repayment costs 40%–70% higher than simple interest at the same stated rate.

Comparing funders requires comparing effective annual cost, not just the stated monthly rate. A 2.5% simple rate on a 24-month case is materially less expensive than a 2.5% compound rate on the same case.

$10,000 advance · 3.0% monthly · 36 months
Simple interest
$20,800
$10,000 + ($300/mo × 36)
Compound interest (common alternative)
$29,028
$10,000 × (1.03)³⁶
Difference at resolution
+$8,228
You pay more under compound — same stated rate
Want a financing request prepared for your case?
Criterica Capital reviews your case and prepares your request. Any rate comes from the provider, in writing, before you sign anything.
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