Can You Get a Personal Loan for Lawyer Fees?

March 28, 2024 Personal Loans

Key Takeaways

  • Importance of Legal Representation: Timely legal counsel can significantly impact the outcome of your case, whether it's criminal defense or civil litigation.
  • Cost of Legal Representation: Legal fees can be substantial, including retainer fees, hourly rates, contingency fees, flat fees, and consultation fees.
  • Challenges in Affording Legal Counsel: Unexpected legal troubles, the balance between quality representation and affordability, and financial strain can make it difficult to access legal services when needed.
  • Using Personal Loans for Lawyer Fees: Personal loans offer a solution for accessing legal representation quickly. They provide immediate funds, flexible repayment terms, and predictable monthly installments.
  • Benefits of Personal Loans: Personal loans allow for timely access to qualified legal advice, make legal expenses more manageable, preserve savings, and have the potential to boost credit scores if managed responsibly.
Can You Get a Personal Loan for Lawyer Fees?

Having good legal representation makes a world of difference in protecting your rights and ensuring justice is served. Whether you’re going through a criminal defense case or civil litigation, hiring a private attorney is often advisable because of how impactful the case results can be on your life. However, competent legal counsel is expensive, making it seem unattainable for many people.

In this guide, we'll go over how you can use a personal loan to cover lawyer fees and improve your chances of favorable case outcomes.

Why legal representation can be expensive

Legal scenarios cover many fields, such as family law, criminal defense, civil lawsuits, and more. Each case comes with numerous costs, with common types including:

Retainer fees

A retainer fee is an amount of money you have to pay upfront to the lawyer before receiving their legal services. This fee may be considered a down payment.

Hourly rates

The most common type of billing is by the hour. A lawyer with hourly billing will charge you more with each hour spent on your case. The average hourly rate of a lawyer is around $250 to $500 an hour. These rates may fluctuate greatly depending on your needs, the lawyer’s expertise and specialization, as well as your geographical location. For example, a divorce may cost around $13,000 in legal fees, whereas settling an estate might cost around $3,000.

If your case is more contentious or complex, the billable hours can easily accumulate to an overwhelming cost.

Contingency fees

For injury claims, you might be charged a contingency fee. These fees are contingent on the results of the case. If your desired, pre-designated end goal is met (usually in the form of a compensatory damages award), then you will pay the attorney. Otherwise, you won’t need to pay.

The average injury claim settlement is around $250,000. Lawyers typically charge a contingency fee between 33% to 40% of the amount of awarded damages. The percentage will depend on numerous factors, including the risk and scale of the case.

Flat fees

You might need to pay flat fees if the attorney of your choice charges fixed amounts for certain services. The predictability typically makes flat-fee lawyers a great choice for relatively simple legal matters.

Consultation fees

It’s often a good idea to consult with a lawyer before officially hiring them. In this consultation process, both sides get a better idea of the case and whether the lawyer can use their expertise to help. Some lawyers do charge a consultation fee, though this fee could also help cover future legal services if the lawyer is hired.

Hiring private attorneys vs. public defenders

Public defenders can be appointed to your case at no charge because you have the right to legal representation. In some cases, you may need to pay a registration fee before procuring public defense services.

Hiring a private attorney comes with numerous advantages, such as:

  • Personalized attention
  • Flexible payment plans
  • Experience and expertise

However, a private attorney can bill higher hourly rates, have busier schedules resulting in less availability, and be unable to access the same resources that a public defender can.

In general, individuals who find themselves facing serious legal problems might want to obtain the services and guidance of a private attorney. If you are facing a minor legal issue, a public defender or lawyer acting pro bono may be preferable. Everyone has their own individual circumstances and needs, and it is essential to assess your personal case before making the final decision.


Challenges in affording legal counsel

Many people face hurdles when trying to afford legal counsel. Here are a few recurrent challenges that individuals encounter when dealing with legal issues.

Unexpected legal troubles

While it is possible to prepare yourself for legal trouble ahead of time, legal problems occur unexpectedly for most individuals. The unpreparedness can result in stress, panic, and uncertainty as to what kind of legal representation they might need.

Quality representation vs. affordability

It can be challenging to balance quality representation with affordability. Depending on your particular situation, needs, and chosen lawyer, the legal representation costs easily cost thousands of dollars, if not significantly more. A skillful lawyer may not be as affordable, but could be worth the higher legal fees due to the experience they bring to the table.

Financial strain and self-representation

Many individuals who face financial difficulties end up choosing to self-represent. The main benefit is that you can save money. However, representing yourself comes with many risks that outweigh this benefit. The most common disadvantages are:

  • You can’t effectively assess or predict new legal issues
  • You won’t receive an attorney’s protection and guidance in court
  • No criminal case plea deal without an attorney

Understanding personal loans for lawyer fees

A personal loan provides you with an approved amount of loan funds that you can then use for various purposes, including legal services. Over time, you will be expected to repay the loan (plus interest).

Here are the main reasons you should consider obtaining a personal loan for lawyer fees.

Timely access to good legal counsel

Responding quickly and promptly to legal trouble can often make a positive impact on your case results. This is especially crucial if the stakes on your case are high. Loan funds can be quickly obtained compared to other financing methods, allowing you to hire competent legal representation without much delay. You will be able to choose from a greater pool of available lawyers with your increased budget.

Flexible repayment terms

With so many lenders available, you can find the one with repayment terms that align best with your circumstances and financial standing. You can even enter negotiations with lenders to obtain more favorable loan terms and rates, especially if you have good to excellent credit.


Most personal loans come with fixed interest rates, which enables you to easily plan and budget for the loan installments each month.

Common criteria affecting loan approval

Lenders use different criteria when measuring your creditworthiness and financial standing for loan decisions. Here are several common factors that lenders assess:

  • Credit score
  • Credit history
  • Income type
  • Existing debt obligations

Benefits of using personal loans for legal representation

Immediate access to qualified legal advice

Since some personal loans can even be obtained with same-day approval, you can quickly obtain the funds that you need to secure urgent qualified legal advice. For some cases, such as those relating to criminal defense, receiving timely access to counsel can make a huge difference in case outcomes.

Make the cost of legal services more manageable

By using a personal loan, you don’t need to pay as much in fees upfront. The loan allows you to spread out the legal expenses over a more manageable repayment period that works for you.

Preserve your savings

If you want to preserve your individual savings or emergency fund, a personal loan can be an attractive financing option for lawyer fees. With loan funds at hand, you won’t need to deplete the savings you’ve worked hard to build, allowing you to maintain more financial stability and preparedness for future needs.

Potential to boost your credit score

As unintuitive as it may sound, taking out a loan can actually increase your credit score over time. So long as you make regular, on-time loan payments without missing any installments, you can steadily enhance your credit score by showing responsible management of debt.


Key considerations before securing a personal loan for lawyer fees

Since taking out a personal loan is an important financial decision, it’s important to review your needs and loan terms before securing the loan. Here are a few key considerations to keep in mind before you obtain a loan for lawyer fees.

Compare the loan amount with your total lawyer costs

Since many lawyers bill hourly, the final legal fees can be unpredictable. Before you sign a loan agreement for an approved loan amount, it is highly advisable to research the estimated costs of your legal counsel. Perform a comprehensive assessment to see how large a personal loan you will need to obtain.

During a consultation, you could also ask the lawyer how much they expect the legal services to cost. Be aware that the average cost of a lawyer in any field is around $250 an hour.

Weigh the urgency of the legal issue at hand

Some legal issues should ideally be dealt with as soon as possible due to their urgent nature. On the other hand, some cases aren’t as significant. Before you take out a personal loan, evaluate the legal issue at hand to see just how urgently you need loan funds to deal with the matter.

Consider different lenders

Different lenders have their own pros and cons. You don’t need to commit to a single lender even if they provide you with a loan offer. If you have the time, make sure to compare the loan terms, rates, and fees across various lenders to find the best deal. You may want to specifically get a personal loan for legal fees.

Create a realistic repayment plan

Like with all finances, good planning can help you manage your bills and expectations. As you obtain a personal loan, it’s a good idea to devise a practical repayment plan that is in line with both your current budget and expected future circumstances.

Know the potential credit impact

If you end up missing loan payments or defaulting on the loan, you can damage your credit score. Meanwhile, making on-time, consistent loan payments according to the repayment schedule can gradually increase your credit score. If you’re worried about the potential credit impact of taking out a personal loan, try to minimize the number of active loans you have simultaneously.


Financing alternatives for legal fees

If personal loans don’t sound like an attractive option for you, you can still obtain legal representation through financing alternatives.

Attorney payment plans

Some attorneys are happy to negotiate a payment plan with you directly. If you explain your position and reasoning for why you cannot make the legal fees, you might be able to negotiate a flexible payment plan.

Legal aid societies and non-profits

If you’re struggling with legal fees, communities such as the Legal Aid Society and non-profit organizations may be able to help you. They help advocate for the rights of those who cannot pay for their own private attorneys.

Pro bono services

Many law firms offer pro bono services regardless of their size, location, or field. If you need to deal with a legal issue but you cannot afford legal fees, it is a good idea to reach out to firms and see whether they can help you pro bono (i.e. without charge).


If you can create a compelling campaign for why you need help with legal fees, crowdfunding may be an excellent option. Some legal battles can garner significant public support because of how they resonate with the community, resulting in financial support. Litigation crowdfunding is also a growing method of financing lawsuits.

Popular online crowdfunding platforms that can help you with legal issues include:

  • CrowdJustice
  • Kickstarter
  • GoFundMe

Key takeaways

Having timely counsel can undeniably boost your chances of a successful case outcome. If you’re facing financial challenges but need to pay for legal services, consider obtaining a personal loan.

Alternatives include finding pro bono services, legal aid communities, and even crowdfunding. Regardless of your financing strategy, it’s advisable to find a good balance between quality legal representation and affordability.


Resources and further reading

It’s essential to find a suitable loan provider with experience in providing personal loans for legal fees. Here are a few reputable lenders you may want to consider.

In addition, it’s a good idea to consider how much of a loan amount you will need before you take out a personal loan. Make sure you carefully review your lender and attorney options before you make the final decisions.

About The Author

Author Avatar

Ru Chen

Content Writer

Ru Chen is a content writer with several years of experience in creating engaging and well-researched articles. She mostly writes about business, digital marketing, and law. In her free time, she can be found watching horror movies and playing board games with her partner in Brooklyn.

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