Lent $8k to boyfriend

[Well Spent]

Re: Lent $8k to boyfriend

What interest rates are you paying on your credit cards? I am worried that you have gotten yourself in a very bad situation. I don't believe in loaning money.

I also don't believe in lending loved ones money. I don't have any to lend, but I just know it usually ends badly. Every court show on tv like Judge Judy and Judge Joe Brown that I've ever seen are about people lending money to friends and relatives and not getting paid back.

I bought a car from my sister 3 years ago. I paid her the Kelly Blue Book value of the car. I typed up a Word document that stated the date that I took ownership of it, the price I was paying her for the car, that it was a loan to be repaid, and how much was due each month until it was paid off (i.e. $300 is due on March 21, $300 is due on April 21, etc), what day it was due each month, and we both signed it and kept a copy for ourselves.

I think it's a legal contract but I'm not sure. I think it's important just for the fact that both of you know what's expected and it is in writing.

Could you ask him to do this now? You could say that you're sorting out your finances and you want to be clear about the loan.

[Ima saver]

Re: Lent $8k to boyfriend

The main thing is that your sister should keep title to the car until you pay it off, then transfer the title to you. That is the way the banks would do it.

[JBinKC]

Re: Lent $8k to boyfriend

My advice is to issue an EIN with the IRS and put the debt into that entity and you better get a hold of his social security number also. Hopefully your relationship lasts but if it doesn't and your credit gets trashed from this you at least will have the satisfaction that you will able to take him down with you as you can issue a bad debt 1099 to him and report him to the credit agencies also. Mean yes but definitely justifiable.

[Tree0164]

Re: Lent $8k to boyfriend

Avery
How about an update?

[Bluezy]

Re: Lent $8k to boyfriend

My advice is to issue an EIN with the IRS and put the debt into that entity and you better get a hold of his social security number also

What a brilliant idea! It's a shrewd move should one decide that they must personally lend anyone money. I will research this move further.

Now for the situation at hand...everytime I hear of someone lending a lover money my complete blood count falls. When I hear of someone lending a lover money without a contract my blood iron and bilirubin levels plummet until I cannot function. I hate to say this but without a contract in place BEFORE the money changed hands, you will have a hard time collecting the money back shoudl he default.

I pray that all the best happens in this situation, and that the lover will be honourable and pay back the money.

[frugalfarmwife]

Re: Lent $8k to boyfriend

Oh I'm with Bluezy on this one! My stomach also drops when I hear of situations like this, be it boyfriend/friend/family there should NEVER be a loan without a contract ahead of time!

Two situations:

Hubby and I currently owe my mother a large amount of money, BUT it was borrowed against a payment I'm expecting from my fathers will, I KNOW the money is there, I NEEDED the money to buy 36 acres of land in front of us before it went to auction, it IS an investment in our future/retirement. We have a written contract complete with interest, the bank would charge me interest, my mom would be making interest if she had the money invested so she has every right to interest. True, I'm having to put up with a feeling of being "owned" for right now but it's well worth it for the investment, and I'm one that HATES owing. Now my Mother in law thinks it's HORRIBLE that my own mother would charge us interest, but it's BUSINESS and that money IS my mothers retirement money.

The other situation is MY MOTHER IN LAW, she inherited a VERY large amount of money by their families standards four years ago, it SHOULD have been more than enough for her to retire in luxury and be more than financially secure AND fund her grand childrens college tuition, but where is she now? She's having to work full time and has more going out than coming in, a big mortgage, an equity loan and racked up CC debt that she can't even get paid on time. Why this debt? The other kids in the family kept going to her with their "needs", the one son has CC's on her accounts and is using them and not paying his share (this is a married MAN with a house and child!) They're bleeding her dry, they promise they'll pay it back "when they can", ain't gonna happen, they're strapped keeping up with the Jones.

Your boyfriend is bleeding you dry, what will happen if he disappears on you, does he love you enough to even sign the papers now? Do you really want to be in a relationship where one of you owes the other?


So, is a contract between family/loved ones a bad thing? NOPE! It's a MUST!

kj