Private loan with LPA

della11

I have a LPA for a relative. Am I allowed to make a private loan from their a/c?
What reasons against this please?

tomtontom

No, absolutely not. The money is to be used for the benefit of the incapacitated person.

I'm actually shocked you are considering it.

della11

So peer to peer lending would be unacceptable too?

meer53

^^^^ This ! Tomtontoms post

Absolutely not ! What do you mean by peer to peer ?

della11

Its where you lend money through a company and earn interest. Its on this MME site under the savings banner.

Pixie5740

della11 wrote: »

So peer to peer lending would be unacceptable too?

Peer to peer lending completely different. The lenders have made a conscious decision to enter into peer to peer lending. They have weighed up the risks.

As someone with LPA you have to act in the best interests of the relative. You taking a private loan from their account is not you acting in their best interests, it's you acting in your best interests.

You're trying to compare apples with oranges to try and justify what you're proposing.

tomtontom

della11 wrote: »

So peer to peer lending would be unacceptable too?

P2P lending is far from risk free, it is not your place to play with your relative's money.

Please contact social services and ask for someone to explain your responsibilities to you.

DCFC79

Sorry OP yes you della I agree with everyone else, dont use the relatives account.

della11

Thank you everybody, I have no intention of benefiting personally, the loan is not for me, I was just asking the question for advice.

suicidebob - you are unnecessarily offensive - my mother recently died.

suicidebob

della11 wrote: »

Thank you everybody, I have no intention of benefiting personally, the loan is not for me, I was just asking the question for advice.

suicidebob - you are unnecessarily offensive - my mother recently died.

Well, I can only hope you didn't attempt to screw her over in her final years.

Puddylove

della11 wrote: »

I have a LPA for a relative. Am I allowed to make a private loan from their a/c, i'ts short term and totally secure? Relative would have certainly agreed to it prior variable memory problems. I would obviously draw up an agreement and have it witnessed etc.
What reasons against this please?

1. No loan is 'totally secure'
2. Your P of A is to enable you to look after their best interests, no one else', no matter how worthy.