Lending money to friends & family

ailuro2

china flowers!

spammer!

noticed the link in your sig and reported it....

hjw1985

Hi. My post is not exactly in the same vein so I'm not sure if this is the right place to post but I am buying a car and my parents have just had some inheritance money come through. They have (very kindly) offered to lend me the money for my car rather than me use a bank loan. I plan to set up a standing order to pay off the amount over a few years and my parents have total faith in me but I am not especially comfortable taking money from them to begin with so have said I would like to draw up a proper credit agreement we can both sign so I would feel better about it. Does anyone know where there might be a template for such a thing? I've never had a loan (other than my mortgage) before so I'm not sure how it should be set out. I know it won't be properly official but it would make me feel more secure with at least something in place.

Thanks.

Woodyrocks

Hi hjw1985, I can't think of one of the top of my head but I know something of the like must exist. Rather than have your post lost in here why don't you start a thread specifically asking for it - better chance of you getting a quicker direct answer.

jaymz84

A somewhat odd question, but it seems suited to this thread. Feel free to point me in the right direction if it isn't.

A long-time friend of mine living in Canada is in need of some money while her employer processes expenses that they were unable to pay out before Christmas. I see the chances of receiving the money back to be certain, and the time frame is probably a week or two maximum.

I'm in a position where I'm able to lend her the money, however I do not what possible legal or tax complications may arise. The amount of money is in the region of £5,000, I don't know if the inland revenue may take an interest in this.

Thanks in advance,

Justy

Hello everyone :j

Last year I lent £3500 to a female friend who was being threatened by an Ex of hers for money she owed him as part of the deposit on their house.

Now a year later she is ignoring my messages about repaying me, which as you can imagine, is rather annoying considering I helped her out of a tough spot.

What should my next course of action be? I am willing to instruct debt collectors against her because I am so angry about the principle of it all.

I know where she lives and have all her contact details. I have proof that I paid her as the money was transferred from my bank to hers (and the standing order had her name on it as reference).

I wrote to her saying I was willing to be reasonable about the payment schedule - and she didn't even bother replying. :mad:

Is a Debt Collector my last hope? Even if they don't manage to get anything back, I feel there's a certain satisfaction with instructing them - does that make me a bad and vengeful person?

Can anyone recommend a DCA for this kind of case?

flatbroke49

a very close relative of mine got into debt a couple of years ago and asked me to get a loan, so they could get straight. This I did, and although I have received the monthly payments since then, at times this was late and I incurred bank charges. With hindsight it was an extremely silly thing to do, but when it is your loved ones in trouble you want to help out. The loan did not help the situation which has got much worse, so much so that they are due to file for voluntary bankrupcy this month. And the loan? well there was nothing in wrting, it is in my name and therefore I am now left, at a time when I am having financial difficulties, with a loan of 6000 to pay. I would advice anyone else who is approached by family or friends who are in a similiar situation, not to lend money, because it is often only a short term fix and if they havent addressed their whole debt issues, you may lose your money and end up like me.

maz1964

justy

i know how you feel, its really horrid when this happens

all i can think of for you is take her to court on a county court judgement and then see if a payment plan of some kind can be set up i dont think a dca would be a good idea - what charges would they impose,,,

have a read around the site in the legals perhaps more info there

hard lesson in life to learn, like me never ever again, i will help them with my time but never again with money

take care maz

samsondog

Our eldest son died suddenly in 2007 aged 30. We can never get over it. Our family at the time though distant, all came forward with their love and support.

Within a few weeks, our niece, from my husbands side, needed money for her husband to start up his own business and would you believe it...as an Undertaker...... He was working with CO-OP Funeral Care, and seemed to know the business inside out, but he had been suspended, well, apparently, he has inside information on dodgy practices.

We had faith in him, and with aftersight, this was misguided because we were still grieving over the loss of our son. This is where our niece stepped in, with soothing words and actions.

We agreed to lend them £9000 interest free, we would like a small return if possible, no hurry for it back, as long as we got it back for our retirement in about 10 years time.

Our neices husband went to The Employment Tribunal which was featured front page in our local newspaper, and was thrown out, leaving our neice's husband with a huge lawyers bill.

Well... 9 months after parting with our money via a bank transfer, the business folded. Only, we weren't old anything about it.

When we enquired about our money, we were shot down, they had a mortgage to pay, young children, they came first.

This we could have understood, if they had been open and honest, but in the months after we lent them the money there were extravagant parties, pub going, no evidence of any funerals being conducted.

I finally lost it, only to be told by our neice that I was using my dead son to get at her, that we gave them the money that we can not get blood out of a stone.

We have approached my sister-in-law, her mother, and she doesn't want to know either.

Now our neice and her husband have split up, and they won't tell us where he is.

£9000 is an awful lot to lose, we don't have much more, and it's our savings. The real hurt here is they are using such nasty tactics to avoid paying anything back at all. We would have been sympathetic had they been honest.

No bank or lender would tolerate such bad behaviour from a borrower, but because we are family, they think they can speak to us in a vile manner and never pay us back our money.

We have resigned ourselves to losing this money, we can't get over our son's sudden death as it is, without a fight to get our money back, this we can do without.

Please read this and be warned, you can't trust anyone, not no one, ever.

di3004

samsondog wrote: »

Our eldest son died suddenly in 2007 aged 30. We can never get over it. Our family at the time though distant, all came forward with their love and support.

Within a few weeks, our niece, from my husbands side, needed money for her husband to start up his own business and would you believe it...as an Undertaker...... He was working with CO-OP Funeral Care, and seemed to know the business inside out, but he had been suspended, well, apparently, he has inside information on dodgy practices.

We had faith in him, and with aftersight, this was misguided because we were still grieving over the loss of our son. This is where our niece stepped in, with soothing words and actions.

We agreed to lend them £9000 interest free, we would like a small return if possible, no hurry for it back, as long as we got it back for our retirement in about 10 years time.

Our neices husband went to The Employment Tribunal which was featured front page in our local newspaper, and was thrown out, leaving our neice's husband with a huge lawyers bill.

Well... 9 months after parting with our money via a bank transfer, the business folded. Only, we weren't old anything about it.

When we enquired about our money, we were shot down, they had a mortgage to pay, young children, they came first.

This we could have understood, if they had been open and honest, but in the months after we lent them the money there were extravagant parties, pub going, no evidence of any funerals being conducted.

I finally lost it, only to be told by our neice that I was using my dead son to get at her, that we gave them the money that we can not get blood out of a stone.

We have approached my sister-in-law, her mother, and she doesn't want to know either.

Now our neice and her husband have split up, and they won't tell us where he is.

£9000 is an awful lot to lose, we don't have much more, and it's our savings. The real hurt here is they are using such nasty tactics to avoid paying anything back at all. We would have been sympathetic had they been honest.

No bank or lender would tolerate such bad behaviour from a borrower, but because we are family, they think they can speak to us in a vile manner and never pay us back our money.

We have resigned ourselves to losing this money, we can't get over our son's sudden death as it is, without a fight to get our money back, this we can do without.

Please read this and be warned, you can't trust anyone, not no one, ever.

Hello there

Oh I am so sorry to hear of this hunni, I really am, my heart and thoughts are with you and your family.

This is very bad indeed......I really don't know what to say but hope you don't mind me saying how brave you are writing this, after everything going on.

Thank you so much for posting this, and I am sure others will be more alert on these issues in the future.....after reading this, thank you so much.

Love Di.
XXXX

maz1964

yes i totally agree trust no one

i am so very sorry that you have had to endure this after the loss of your son

i do hope that some peace will come your way and that nice things happen to you in the future

my thoughts are with you

and let this be a warning to others, take care of yourself and your family and help others out with your Time and knowledge but NEVER with your money

take care all maz