Loans and credit cards in my name, but not my debt!

power_muffin

Hey everyone!
This is my first post, so go gentle!

I have a dilemma...so bare with me..

Over the past 5 months my best friend and I have been living together.
I have helped him out by taking out loans in my name (I signed the paper work) and given the money to him.
However things have gone bad.
Legally, as the creidt agreements are all in my name and I have sgined them, is it my legal responsibilty to pay these back?

I know morally he should pay them back, but I am looking at this from a legal point of view..

Any help would be great,

Thanks.

aliasojo

'Fraid so. What went on behind the scenes is irrelevant, legally you were the one who applied and signed therefore you are ultimately responsible.

HGLTsuperstar

Golden rule: lending money to friend is the surest way to ruin a freindship. You already answered your own question, so I guess you know the answer. I'm also guessing you wont do this again for them or anyone else!

rchddap1

This is one of the things I never do....lend money to a friend / family (never mind taking out a credit agreement for them). It is a very dangerous road and can create a lot of upset if one party decides not to 'play ball'.

You are responsible for the debt.

Robert_Sterling_3

power_muffin wrote:

so bare with me.. Not today thanks ... RS
Over the past 5 months my best friend and I have been living together.
I have helped him out by taking out loans in my name (I signed the paper work) and given the money to him.
Legally, as the credit agreements are all in my name and I have signed them, is it my legal responsibilty to pay these back?
I know morally he should pay them back, but I am looking at this from a legal point of view..

You took out loans.
You should repay them.
You made loans to friend.
Friend should pay you.

Rafter

Why can't he afford to repay you?

Can he declare himself bankrupt to get rid of other debts and then afford to pay you?

Is he capable of work and paying you back over time?

R.

HGLTsuperstar

Rafter, you're missing the point: the friend has him/her over a barrel, they are not obliged to do !!!!!! all!

Rafter

I'm not missing the point at all!

The friend is holding all the cards yeah, but if they are in dire straights, wipe the slate clean, but value the friendship at all, power_muffin maybe able to get some money back.

I was trying to see whether there was an alternative way to get the money back by relying on the friends goodwill.

R.

HGLTsuperstar

Yes Rafter, the moral and responsible thing is for the friend to pay up, but in the real world that's very unlikely to happen. Relying on goodwill and the "friend's" conscience is a sweet but naive view, I think we all know what they will, or won't do