You've probably heard attorneys market themselves or their firm by promising "no fee upfront." This is called a contingency fee, and is common in many types of cases. Below is a guide explaining when you can expect to pay nothing upfront.
1
What is a contingency fee?
A contingency fee is contingent on the outcome. In other words, you only pay if and when you win. If you lose, you pay nothing. The fee is generally 1/3 of the amount you receive, but it can vary.
2
Who charges contingency fees?
It doesn't so much depend on the attorney, but on the type of case. For example, almost all personal injury cases are handled on a contingency basis. If you have a lawsuit for medical malpractice or a car accident, you'll likely pay a contingency fee. Other examples include probate cases, where the attorney is paid out of the estate at the end, and debt collection cases, where the attorney receives a percentage of the amount they are successful in collecting for you. Contingency fees are sometimes charged for loan modification cases (although there may be a small processing fee upfront).
3
What are some non-contingency cases?
Attorneys will probably charge you a flat fee or an hourly rate for things like criminal defense, real estate, family law (divorce and custody), and estate planning.
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