Repayment to friend

stevemarsh1976

quick question

I am paying a friend back for a loan that he took out for me 12 months ago to pay for a boiler as mine had packed up (and it was winter )

Regardless of what happens I have to pay this as my friend cant afford the payments and by me not paying would leave him with problems.

- Do I need to include this on my forms or can I just continue to make the payments from my surplus each month.

- If I need to mention it will I be in trouble for making a payment to him this month but not paying any other creditor.

Doucam

Any loan regardless of who or where it was from needs to be included and they then become a creditor.

If you continue to pay them and not others then the OR would probably look at that as preferential payments and ask for the money back.

stevemarsh1976

Doucam wrote: »

Any loan regardless of who or where it was from needs to be included and they then become a creditor.

If you continue to pay them and not others then the OR would probably look at that as preferential payments and ask for the money back.

what about after im br (monday)

the loan isnt in my name so can I say pay him cash each month instead ? if he becomes a creditor he wont get anything and will be lumbered with £2500 he cant afford to pay because of me....

philnicandamy

you have to declare all debts on your forms no matter what sadly...BUT after your OR has interviewed etc nothing to stop you paying back out of any surplus you had...

stevemarsh1976

philnicandamy wrote: »

you have to declare all debts on your forms no matter what sadly...BUT after your OR has interviewed etc nothing to stop you paying back out of any surplus you had...

ok thanks phil, any major problem with me having made a payment this month ? it was only £60 never really thought about it at the ime just set up a standing order from my cashminder

curly04

Steve

I take it you are paying him Cash?
If so the OR will never need to know that you have paid him this month
x

stevemarsh1976

curly04 wrote: »

Steve

I take it you are paying him Cash?
If so the OR will never need to know that you have paid him this month
x

no standing order at the moment

IF

Hi Steve, I would cancel the SO......explain to your friend the situation about your BR and that you will be including him in your BR and the OR will be in touch to reclaim the £60 (you have to be upfront with the OR as he may wonder what else you are hiding). As Phil said what you do with your surplus every month is up to you x

stevemarsh1976

ifwisheswerehorses... wrote: »

Hi Steve, I would cancel the SO......explain to your friend the situation about your BR and that you will be including him in your BR and the OR will be in touch to reclaim the £60 (you have to be upfront with the OR as he may wonder what else you are hiding). As Phil said what you do with your surplus every month is up to you x

ok that makes sence I can always pay him the £60 back again, nightmare but still..

is there any harm in a SO once im br as paying cash isnt obviously as convenient for either of us. If its best paid that way then so be it.

curly04

after BR its up to you, but then you are leaving a paper trail so if they look into something and find out you are paying your debts......

I would pay cash or personally go and put the cash into their bank once a month myself over the counter

stevemarsh1976

if hes put as a creditor then will he receive something from my ipa ?