Lending money to friends & family

Alex_Richards

What fantastic replies for people in deep trouble. An exemplification of why this site is so useful and successful

Hosanna_2

A moneylender offers small personal loans at high rates of interest, usually higher rates than the market rate charged on credit cards or on bank overdrafts. Moneylenders are an important source of credit to a category of borrowers who would normally be refused credit by most financial institutions because their income may be at or below the poverty threshold or whose credit score indicates that the borrower might be unable to repay the loan.Because personal loans offered are unsecured and the risk of default by the borrower is high, moneylenders charge an effective interest rate that is in the range anywhere between 100% to 400% APR.

maggiedoll522

I dont know if this is the right board but I will give it a go anyway I infront of witnesses lent a reletive money 17 years ago with a verble agreement that they would pay it back as I lent them over £3000 this was done infront of other family relitives. I have been asking for this money to be repayed back for the last 17 years I live in Scotland can I take this to a small claims court.

harryhound

abbz935 wrote: »

I have lent money to a boyfriend around February 2010. We have since split and he is now refusing to pay the money back.

The money was paid direct to a debt company (evidence I have on my internet bank statement) however i did not take any other details at the time. I had received a call explaining that the mother of his children had got into debt and had bailiffs knocking at her door. I wanted to send the money to his account but was told it took too long and he therefore liaised with the debt company informing them i would be clearing the outstanding balance.

We have since broken up and he has paid me a small amount of the debt and is now refusing to pay back the rest. There have been various texts stating that 'he had transferred the money' or 'Ill have it on Thursday' (though none of which stated the exact amount) and nothing has come through anyway, he has most recently said that I will not receive anything from him.

Could you please advise on this situation. He is in a stable financial position with a full time job and a mortgage. This is not the first time he has not repaid a debt I lent him £500 back in 2009 however I am not sure that I am able to claim for this as it was a while ago.

.... I know more fool me for lending him it twice!

Well at least you are not having to look after his kids?

Rachlro

Hi, id be really grateful of any advice....

Ive just broken up with my boyfriend, we live in the same town and kind of on speaking terms..

The situation is...

6 months ago, he applied for a loan wit the bank and got refused. i therefore applied instead, £7000 total repayment about 9k. I then transferred 7k to his account via internet banking. he set up a direct debit to my account, repaying me the 'suggested' repayment of £160 a month, he's been doing this for the last 6 months. We have nothing in writing, only this payment and i guess the bank lady who organised this knows that i was going to transfer this money to him (we openly discussed this in front of her) We've now broken up and im worried he may stop paying me. do i have any rights? i know its my own stupid fault but i could do with any advice...

thank you

segitseg1983

Üdvözlöm!

Én Magyarorsz!gon !lek. Nagyon nagy szüks!gem lenne kölcsönre. A gyerekeim !lete m!lik rajta.A f!rjem sajnos hirtelen meghalt. Én nagyon nagy bajba kerültem !s szüks!gem lenne 10,000 doll!rra.
Hat h!nap m!lva 15000 doll!rt fizetek vissza annak aki most seg!t nekünk. A p!nzt vissza tudom fizetni hat h!nap m!lva kapok !n nagyobb összeget egy ingatlan elad!s!b!l. Nagyon sz!pen k!rem aki tud seg!tsen. R!szleteket emailben megbesz!ljük.
segitseg1983@freemail.hu

drew35

I lent an friend ive known for 16 years 6000 pounds. She agreed to pay it back in 3-6 months. Its been 1.5 years and i need the money back. I transfered the money into her account by cash. I have the reciepts and my bank book shows i took the money out. She lent the money for a deposit on a buy to let flat which shes still in. At the time i was trying to buy a house and i had an offer in principle from mortgage advisor. Would i have a chance to get the cash back? Its highly unlikely shed move to avoid paying but i dont know if she would sign an agreement now. What do you guys/gals think?

Thanks

t-bone2010

My story is similar to many mentioned here but I am the one who was given the money. Basically at the time my wife and I were given a substantial amount of money £40k by her dad and his girlfriend. The money was given, and I quote "to help you get out of the hole you are clearly in, and give you the opportunity to get on with your lives and enjoy your children" There was never any suggestion of the money being paid back or interest added, and as such no agreement was ever drawn up. Unlike the money loaned to me by my parents during the divorce which is drawn up, a monthly amount agreed and signed by a witness, (all my suggestion) We gratefully accepted after some discussion as to whether we should or not. Anyway, unfortunately our marriage went sour and we separated, My now ex-wife's relationship with her father also went sour as his ex-wife began to send her vile e-mails, make threats against her and calling her unfit as a mother due to the circumstances surrounding the split. After a few months she started asking for the money back from my ex, saying that the money was a loan and that she now had to repay her 1/2. I was still on reasonable terms with them and they did not ask me for any money. Indeed when my ex asked them they said we had made a separate arrangement (we had not in fact even discussed it as the money was given as a gift!!) Some time passed and they pursued my ex for her 1/2 of the money. She moved back to be near me with the children and the abuse continued from her dad's girlfriend. I eventually said that I felt they were out of order and should stop being abusive towards her, as at the end of the day she was the mother of their grandchildren. It was now my turn and the abuse started towards me, spineless, unfit dad etc. Three months later I now received a letter from their solicitors saying that I had failed to repay any money as agreed, untrue as there was never an agreement. I ignored the letter. Another letter came through three to four months later again saying this time you've failed to respond (different solicitors this time.) I responded saying we do not acknowledge any debt nor the interest which she was now claiming (ranging from 8. something to 10%). The next letter said we had agreed to pay the money back after one year interest free, then at a rate of £500 per month with interest at 10%. This is utter lies, we would never have agreed to take the money had we been expected to pay it back as we were in a hole but were climbing slowly out of it. Also we would never have been in a position with 2 young children to ever be able to pay back £500 per month as I was the only one working, so one income and hardly ever any disposable cash. They have now issued court proceedings, we have written a defence saying the money was a gift and so no liability to repay and have received a "notice that a defence has been filed", and an "allocation questionnaire". neither of which I really understand but assume they are standard, the notes are fairly unhelpful. We have been given advice that the claim has absolutely no grounds by the Citizens advice people, their financial expert was consulted and advised we "see them in court as there is no basis at all for any claim given the facts and the lack of any written agreement". I am very concerned, I do not want to get a CCJ etc but am not in any position to repay this money as I never thought I had to, as it was made very clear that it was a gift at the time. Now all of a sudden this claim is stressing me out, I pay maintenance to my children and run and maintain my home alone so have almost zero spare cash each month. Any advice gratefully received.

welshmoneylover

t-bone2010 wrote: »

Any advice gratefully received.

How would you feel if the shoe were on the other foot and you lent £40,000. Wouldn't you want it back?

R0bert_Sterling

t-bone2010 wrote: »

Any advice gratefully received.

1. Use some flippin paragraphs man!!

2. You are exactly the type of person this entire thread is about, a professional sponger borrowing from all angles without a care in the World and happily sticks two fingers up at the very people who help you out.

I can only hope the nice fat CCJ arrives.