Loans between friends? Ever statute barred?

Pennywise2012

Reading this, I can't help but play devil's advocate and think that the next post I come to will be something like this...

Seven years ago I was in a pickle financially. My sister (I've guessed the relation!) and her boyfriend helped me out. My sister said it was a gift, and nothing has been mentioned in all this time about paying it back. Now they have split up, and he is saying that he lent me the money and I have to give it back because he needs it as a result of splitting up with my sister. I don't have £7K! I'm unlikely to be able to get a bank loan to give him, and even if I did I couldn't afford to pay it each month. He is talking about taking me to court and trying to make me sell my house. Please help!

It's kind of a big thing to drop on someone after all this time! There's not many people these days who would have that kind of money sitting around. I know splitting up with a partner can be expensive, but are you absolutely sure that there's no 'break-up emotion' involved in this decision - if the person had have been your relative rather than hers, would you feel exactly the same about it? I'm not being un-sympathetic, just trying to see it from both sides.

DCFC79

eddddy wrote: »

A lot of the replies on this thread talk about the absence of "proof".

In reality, if you decided to take this to court, it would be decided on "the balance of probabilities". So you would give your version of the story, and the family member would give theirs (i.e. you would say it was a loan, and the family member would say it was a gift). The court would then decide which version of the story sounds most credible - taking into account any supporting evidence such as bank statements.

Some years back, I knew somebody in a similar position to you - they lent an acquaintance a few thousand, and the acquaintance claimed it was a gift. It ended up in court and the lender won - mainly on the basis that the judge agreed it was unlikely that lender would just give away a few thousand pounds to an acquaintance. (It was a bit more complicated than that, but that's the gist.)

I understand what your saying re going to court etc, but it will be a case of Realworld said they said stuff(hard to decide who tells the truth) but yes with regards to the amount of 8k maybe the judge would see it as a loan.

AMILLIONDOLLARS

Realworld wrote: »

Wow

Expensive lesson for me then

Welcome to the Realworld!!!:D


AMD