Matrimonial Finance2019-01-10T10:16:45+00:00

Quanta Matrimonial Finance

Overview

Quanta recognises that when it comes to divorce there can be an imbalance in the legal budgets of spouses involved, and therefore the resources that they can rely on to support their interests. The issue of access to Justice is a significant one for the financially dependent spouse and in order gain the best legal guidance, there is a need for financial support in lieu of an eventually matrimonial settlement. The solution is matrimonial finance, which can help address the lack of symmetry and level up the legal firepower between divorcing parties. Through such finance, the underdog is provided with the means to fight for what is rightfully theirs, at the crucial time when they really need it.

Key Quanta Benefits

  • Tailored financing focused on supporting early resolution and settlement
  • Pre-approval for total case funding schedule up to case conclusion
  • Transparency of fees without having to concede a proportionate of awarded damages
  • Non-compounded Fixed interest rates for the duration of case and only applied to ‘drawn’ funds
  • Limited outlay as both the facility set-up and interest fees are rolled into the loan
  • No need for unnecessary insurance or Security
  • Personal case support

Matrimonial Finance FAQ’s

Solicitors and Barrister are obligated to support the best interests of the Client and may include the options that Quanta Capital Matrimonial Finance provides, alongside other alternatives that they believe to be suitable. Quanta do not ask to be recommended or promoted over another option and offer no incentives to do so.
Quanta will ask you to complete a short fact find document which enables us to become more familiar with both the case and your firm (if you have one) and to undertake some necessary due diligence checks. This may include use of a credit reference agency. We can only provide financial support if an application is completed and is subsequently approved.
Matrimonial Finance can be provided in most of dissolution of marriage, civil partnerships, and ToLATA cases (including associated children act proceedings), which are scheduled to be heard in an English court under English Law. Loans can be used to cover all scheduled legal fees, court costs and disbursements. This includes the use of experts such as counsel, accountants, surveyors and investigators.
Each case is different and depends on the ratio of expected costs to likely settlement. Once understood Quanta will work to agree schedule of costs and an agreeable drawdown time table with the relevant parties. We will automatically allow for a contingency amount as necessary.

If at any time the expected costs significantly change from the initial schedule, Quanta will look understand the requirement for additional costs and may agree to an extension of the facility.

Each case is assessed on its own merits and individual risk factors, however there are a number of pre-requisites that need to be confirmed prior to being approved for Finance. These include;
• The Client needs to be formally retained by an approved Law Firm
• An application for the dissolution of a marriage or civil partnership has been made
• A confirmed schedule of costs and a preliminary assessment of the marital assets
• The Client needs to be considered by the court a UK resident
• 50% of the marital assets must be based in the UK
• The Client will need to satisfactorily pass a Quanta credit assessment which will include use of a credit agency
Finance can be applied for at any time during the legal proceedings, however we will not approve a loan until the minimum criteria above has been satisfied. This subsequent approval may be subject to secondary conditions such as the provision of more details to support the lending decision and assessment of risk.
Once a facility has been approved, funds will be provided according to a pre-agreed draw down schedule, however a flexible approach is taken in which the schedule can be altered during the lifecycle of proceedings with the agreement of all parties. For the avoidance of doubt all drawdowns are only completed with the explicit agreement of the Client. Funds are realised in line with the above directly into your Firms Client account.
All our Matrimonial loans are offered on an unsecured basis using a consumer credit agreement (CCA) which is regulated by the FCA; however, both the Client and the Firm must subscribe to respective agreements which ensure that the Financial commitment undertaken by the Clients is repaid under a deed of priority as soon as a settlement is paid into the Law Firms Client account.
Quanta does not typically require the Law Firm to offer any insurance or financial security when providing Matrimonial Finance, however Quanta does require the Law Firm to be regulated by the SRA and that a standard valid PII certificate is in place for the duration of the Case.

Typically, we do not require your Client to take out insurance to protect against the risks of settling their financial commitments with us. Some scenarios however may require specific protection to be in place, based on a specific set of risks such as Ill-health or potential for a loss of life, before we can provide Matrimonial Finance.

Every loan is subject to monthly interest charges, a one-off facility fee and may be subject to a monthly monitoring fee. These transparent fees will be fully illustrated the Litigation Finance Proposal and subsequent agreement. The specific Interest rate charged is agreed on a case by case basis and is accrued monthly on drawn down funds only. The actual payment of interest charges however is not compounded and deferred to the settlement of the agreement. This means that we do not charge interest on interest.

The provision of Litigation Finance is predicated on the Client being retained by only an approved Law Firm. Should the Client decide to change Law Firms, Quanta must approve the new Firm prior to allowing further drawdowns against the facility. If the new Firm is not approved and does not agree to the required undertakings, or the Client decides to Act in Person, the facility effectively becomes repayable which is set-out in the terms of the loan agreement. Interest continues to be charged to the account until settlement

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