State rules
Not availableCase Equity in Connecticut.
ClaimAngel funders are not currently active in Connecticut. The state's rules are below.
The industry calls this pre-settlement funding, legal funding, or a lawsuit loan. We call it Case Equity.
The facts
What Connecticut law says.
As of July 23, 2026
Connecticut's Small Loan Act (PA 23-126, effective October 2023) covers outcome-contingent advances up to $50,000 at APRs above 12%: a license from the Banking Commissioner is required, with tiered rate caps. Enforcement is active: a 2022 Banking Commissioner cease-and-desist pushed many companies out of the state, and 2025 enforcement ordered restitution from an unlicensed funder. Connecticut courts also test funding agreements against public policy, and refused to enforce one where the funder shared in the proceeds (Rice v. Farrell, 129 Conn. 362, 1942).
Verified against primary sources July 23, 2026. The full facts layer for Connecticut, with statute citations and sources, is being written; the summary above is current.
For educational purposes only, not legal advice. Laws change and courts reinterpret them. Check the dated sources on this page, and talk to a lawyer licensed in your state about your own case.
The questions
Connecticut funding, asked plainly.
Is pre-settlement funding legal in Connecticut?
Yes, funding is legal in Connecticut, but not through ClaimAngel today: our funders are not currently taking new Connecticut cases, and other funding companies do serve the state. Connecticut's Small Loan Act (PA 23-126, effective October 2023) covers outcome-contingent advances up to $50,000 at APRs above 12%: a license from the Banking Commissioner is required, with tiered rate caps. Enforcement is active: a 2022 Banking Commissioner cease-and-desist pushed many companies out of the state, and 2025 enforcement ordered restitution from an unlicensed funder. Connecticut courts also test funding agreements against public policy, and refused to enforce one where the funder shared in the proceeds (Rice v. Farrell, 129 Conn. 362, 1942). One important nuance: these rules generally follow where you live, not where the accident happened. If your case is in Connecticut but you live in another state, your home state's rules usually apply, and ClaimAngel may still be able to fund you.
Can I get a lawsuit loan in Connecticut?
Yes, you can. Funding is legal in Connecticut and other funding companies serve Connecticut cases; ClaimAngel funders are just not taking new cases there right now. And if you live in another state, your home state's rules usually apply to you, so ClaimAngel may still be able to fund your Connecticut case. What the industry calls a lawsuit loan is not a loan: a loan bills you monthly and follows you if you lose, and this does neither. The accurate name for the modern product is Case Equity, money drawn from the value your case already holds.
How much does legal funding cost in Connecticut?
Connecticut does not set a state-specific price cap. On ClaimAngel the price is public and the same everywhere we serve: 27.8% simple annual interest, never compounding, with a hard cap at 2x the draw plus financed fees. The calculator shows the exact payoff for your numbers, to the penny.
Is pre-settlement funding a loan?
In Connecticut, yes as a matter of law: since October 2023 the Small Loan Act covers outcome-contingent advances up to $50,000 at APRs above 12%, non-recourse or not, and a Banking Commissioner license is required to make one. The structure of the product is still non-recourse where offered: repaid only from a winning settlement, no monthly bills.
What happens if I lose my case?
Connecticut regulates funding as a small loan, but classification is about licensing and rate caps, not what happens when you lose: a non-recourse contract still forgives on loss. The real danger is unlicensed funders. Make sure the company is licensed by the Banking Commissioner and the contract says non-recourse in writing. On a compliant non-recourse contract, lose and you owe nothing back.
ClaimAngel funders are active in most states. See where.
Every state