Lending money to friends & family

Luke · 6 September 2005 at 7:37PM

Obviously not, I just wouldn't give him any more untill I got my money back.

gizmoleeds · 6 September 2005 at 10:22PM

You see stuff like this on Judge Judy all the time.

jezza1O1 · 13 September 2005 at 12:23PM

deemy2004 wrote:

If they need money then they should go to the financial institutions and borrow it from them ! And if they can't borrow the money, then that says a lot about their ability to repay

I was going to make the exact same point!

Actually I wouldnt rule out lending money totally, but I just make sure its money I can afford to lose and dont expect it back. So essentially a gift rather than loan. But with the implication I would quite like the money back but Im not going to think twice if you cant manage it. Besides, its nice to build up a bank of 'favours' - its an interesting part of human nature that people do generally have a strong need to repay acts of generosity, often with things that far outway the initial value. Classic example being the salesman who throws you a few freebies and in return you buy an expensive product, or of course the classic man buying a woman a drink at the bar...

!

So lend a few £100 to your plumber, mechanic, etc friend, you'll get something and more back in time..

! When it comes to £1000s I couldnt comment - ive never had that much to lend!

WobblyMoo_2 · 16 September 2005 at 10:22AM

Apologies for hijacking this thread but seemed the best place to post this query. My brother managed to obtain a large amount of credit on store cards and catologues when he was 14, my mother bailed him out and he paid her back over time but only after there were several defaults placed against his name. When he applied for a mortgage with his wife his past came back to haunt him and they were turned down twice so my mum lent him £10k as a deposit to be repaid when/if the house was sold. She had very kindly done the same for us when we bought our council house and the money was repaid when the house was sold.
Unfortunately my brother and his wife have now divorced and his ex wife is claiming this money was a gift 'as unfortunately the respondants father died' as quoted from her Form E. Now while this is true, my father did pass away but in 1983 when my brother was 8 so this statement seems a bit ridiculous.
My question is would it be possible for my mother to seek a judgement against my brother for the money and then obtain a charging order on the property? Obviously if this would possibly what effect would it have on him obtaining further credit if required?
Hope someone can help
Denise

hampshirebabe · 27 September 2005 at 8:02AM

Hi this is similar to a thread above but I'll give it a go. I sold my car to a relative of someone I know, she's completely trustworthy, so I thought it shouldn't be a problem. I got it in writing, they signed it, but now 6 months later there's still £260 to pay. He wont answer the phone, or respond to my texts. So I'm thinking of claiming in the small claims, now its more the principle, so I dont care if it costs me some of the money.
I know where he lives, well he's on the electoral role, but I think its a council flat that he rents out, which I thought your not allowed to do. If I threaten him with court, will there be a chance the council will find out and take the flat off him, if so there's more chance of him paying up. Is there any way I can find out if it is a council flat he's subletting to someone else?
If I do take him to court, and win, would I get my fee's back even if he doesn't pay up?

StevenP_2 · 27 September 2005 at 3:24PM

hampshirebabe wrote:

Hi this is similar to a thread above but I'll give it a go. I sold my car to a relative of someone I know, she's completely trustworthy, so I thought it shouldn't be a problem. I got it in writing, they signed it, but now 6 months later there's still £260 to pay. He wont answer the phone, or respond to my texts. So I'm thinking of claiming in the small claims, now its more the principle, so I dont care if it costs me some of the money.
I know where he lives, well he's on the electoral role, but I think its a council flat that he rents out, which I thought your not allowed to do. If I threaten him with court, will there be a chance the council will find out and take the flat off him, if so there's more chance of him paying up. Is there any way I can find out if it is a council flat he's subletting to someone else?
If I do take him to court, and win, would I get my fee's back even if he doesn't pay up?

in my opinion its not worth the hassle

perhaps next time makes sure its someone you trust not your friend

Steve

jonesMUFCforever · 27 September 2005 at 10:44PM

Go to the online service of the Small claims court https://www.moneyclaim.gov.uk and put in a claim, which will cost you £30 (refundable if you win).
Even if you win and they don't pay they will have a ccj registered against their name which will !!!!!! up their credit history for quite some time.
Eric

newmum1 · 28 September 2005 at 4:55PM

most likely you will end up paying more, its prob best to write it off and be more cautious next time!!

savvy · 29 September 2005 at 6:18PM

Hi Hampshirebabe
I've moved your thread here to aid future users with similar problems.
thanks
savvy

Tee-Bhoy · 29 September 2005 at 6:53PM

Hampshirebabe,if you phone the council and speak to the housing officer they would be interested to know if the house was being is sub-let.

Lending money to friends & family

Comments

Categories

Get our FREE Weekly email full of deals & guides - and it’s spam-free