What interest rate would you charge your family?

Wutang_2

berbastrike wrote: »

My Mum has a job and I'm a student though. Her earnings are much higher.

Yes - and she's your mum! Am I missing something here?

System

Yes I know and the idea of charging her interest is weird and wrong. But compared to the current situation, it is miles cheaper for her. (20%+ vs 3.2%).

vax2002

If she is in terminal debt, bankruptcy would be a very good consideration.

izools

berbastrike wrote: »

My Mum has a job and I'm a student though. Her earnings are much higher.

Jesus Christ dude... Just because she earns more doesn't give you the right to capitalise from it. She earns more because she has worked for longer and has more experience in the respective field than you, she deserves to reap the rewards from that, not you.

Although, if that has to be pointed out to you...

Wutang wrote: »

Yes - and she's your mum! Am I missing something here?

I don't think you're the one missing something here.

Mojisola

berbastrike wrote: »

My Mum has a job and I'm a student though. Her earnings are much higher.

If you can't get a job when you finish being a student and try to claim JSA, they will probably count you as having that £10,000. You will be expected to live off that before you can claim means-tested benefits.

If it's all been lent to your Mum and she can't repay you, you're going to be in trouble.

System

She should not get any rewards for catapulting herself into this load of debt. I have no sympathy or for anyone in a similar situation. It is her/their fault, spending money that they don't have.

System

Also, does she classify as "homeowner" when filling out loan applications. The mortgage/house is in my her partner/my Dad's name only.

izools

berbastrike wrote: »

She should not get any rewards for catapulting herself into this load of debt. I have no sympathy or for anyone in a similar situation. It is her/their fault, spending money that they don't have.

Wow.

Just wow.

I think the last thing she would benefit from is your financial help, tbh.

Protip: you might want to check the definition of "capitulate"

Tremour-88

berbastrike wrote: »

Also, does she classify as "homeowner" when filling out loan applications. The mortgage/house is in my her partner/my Dad's name only.

If the ownership of the house is in only your dads name then none of your mums debts will be secured against it.

If this was my mum in this kinda trouble I would pay off about £1500 - £2000 leave it for 2-3 months and see if shes reused it or actually lowering it if she is lowing debts give her the other £8k. I wouldn't charge a penny interest.

paulwellerfan

i lent my sister 5k.
she paid me back 5k over 18 months.
its family i wouldnt dream of trying to make any money off them.
as they wouldnt off me.