Bridging Loan for RAF payout
Road Accident Fund bridging loans allow individuals who have been granted their claim access to immediate cash while they wait for their RAF claim payout.
If you feel that you need to bridge the gap between your settlement of your Road Accident Fund claim and the payment of the claim, but you’re unsure how to go about it, this article can help.
If you are one of thousands of South African's waiting for your payout here’s no need for concern any further because there is a wonderful product available to all, a RAF claim payout bridging loan.
What exactly is a RAF claim?
Most individuals in this country have heard of the Road Accident Fund. This particular fund is in place as a third party for claims that relate to motor vehicle accidents where people have incurred an injury as a result of the accident. The fund gives individuals the opportunity to put claims through in order to be compensated for their injuries, medical bills and any costs incurred due to the accident.
Understanding Bridging finance for RAF payouts
These are quick loans provided by credit providers that have a customized product to suit the needs of individuals that are awaiting a payout from the Road Accident Fund. They will assist you by providing bridging finance to cover whatever expenses you may have and general living costs until your claim has been settled.
How to apply for a RAF bridging loan?
All that you need in order to apply for finance, is a claim court order or RAF settlement letter. Creditors need the proof that you were in fact in an accident and were injured and are awaiting a payout.
Being awarded compensation from the RAF is great, but it doesn’t help when you’re struggling financially and have to wait for a long time until you receive the payout. You will most likely have an attorney tending to the claim and your credit provider will work hand in hand with him or her to assist you with a smooth transaction and a hassle free personal loan approval.
In a nutshell, an RAF bridging finance loan is simply cash paid to you by a creditor while you await the RAF to pay the claim out. Other bridging loans include property bridging loans and pension bridging loans.
How long do I wait for my RAF bridging loan to be paid?
Good question and there’s an even better answer – it’s quick! The moment all your relevant documents and legal contracts are signed for and submitted, the creditor in question will release the loan directly into your dedicated bank account. How quick is quick I’ll bet you’re wondering? For certain providers, you can expect to wait as little as 24 hours!
That’s a speedy turnaround for cash in hand when you consider the turnaround time of an RAF payout. In many cases, it has been recorded to take months, even years to receive a payout from the Road Accident Fund.
Why Road Accident Fund Payouts take so long?
As you can imagine there is a lot of fraud that can take place when it comes to any type of claim against an insurance or fund policy, hence the lengthy investigations into the accidents and injuries that individuals are claiming for.
That is why RAF bridging loans are popular; because no one can afford to fork out that amount of money for bills and expenses while out of work without help.
Are RAF Bridging loans risky?
We guarantee you that there is no risk to you at all. Every process for the finance approval, as well as the payout, is conducted through your attorney and you will be well looked after.
How do I go about putting in a claim to the RAF and applying for finance?
Firstly, you’ll need to apply for a loan on the creditors’ website and complete an RAF form. Once submitted, you’ll be provided with a quotation and preparations for your contract will be drafted along with all your details. Simply sign the contract and send it back and your attorney will be in contact thereafter with the provider of your bridging finance. As soon as the necessary paperwork is out of the way, your funds will be deposited into your bank account. It’s that quick, that easy and carries very little, if any risk.
The RAF bridging loan application process:
- APPLYING online for qualification purposes
- RECEIVING a quote for the advance agreement
- SIGNING the agreement and submitting to the finance company
- OBTAINING your much-needed cash into your bank account
There is no reason that you should have to bear the burden of lengthy legal processes before seeing a cent of that which is due to you. Apply for an advance on that RAF payout through any trusted lender that offers an RAF claim payout bridging finance and you’ll be glad you did!
What should I know about RAF bridging loans?
It does, but it really isn’t! There is no catch at all when it comes to bridging finance. The lender, or funder, is charging a fee for providing you with the cash up front since you will definitely be receiving it, just at a later stage.
When you apply through the lending company, be sure you inquire about the rate of interest as well as the admin fee. Since lenders take on a risk by paying you a large sum of money, they, too, need to be compensated for that risk.
Let the experts guide you
Mostly, you can apply for an obligation-free quote to assist you through this process. Generally, people only go through this once in their lives, so it’s not as though you’re expected to understand all the ins and outs of the RAF bridging loan. So, when you find yourself in a position waiting for a claim payout, don’t let your finances take the knock, apply for RAF payout now and safeguard your financial well being.