Loaned money from relatives

TheEditor_2

Hi,

Just making the final final final check over the paperwork for my hearing on Monday (eeeeek!)

I borrowed about £2,800 from my mum about a year ago, and have been paying her back slowly over the past year (in cash).

As this was a loan from my Mum, I had thought of leaving her off the list, but thinking about it, if I put her on my list - would it be better for the OR to assign a repayment to her as opposed to me just giving her £50 as and when if the IPA comes into force with my disposable income?

Any experiences or thoughts appreciated,

TheEd.

Richard_S

Hi Ed,

If you think there's a chance of having to pay an IPA then you might as well include your Mum as a creditor. It's not very likely that there'll be much left after the I.S take their fees but "every little helps".

It might be wise to include the balance as it stands now and not mention that you've been paying her small amounts in cash during the last year. You shouldn't show preference to one creditor over another. I know it's only a relatively small amount but better not to take any chances.

Borrowing money from family is fraught with problems; don't we know it?:eek: :eek: It's a moral debt and bankruptcy doesn't enter the equation.:rolleyes: :rolleyes:

Richard