Friend Loaned Me Money

by PATRICE
(ORANGE CA, USA)

I live ca, I borrowed money from a friend and we made arrangments for me to back her back as often as i could and as much as i could with in one year, I've paid her 3 payments, now her son is telling me he is power of attorney and wants me to pay it all back, what should i do?

Comments for Friend Loaned Me Money

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Sep 22, 2011
 Friend Loaned Me Money
by: Debtcollectionanswers.com.

I am not clear from your question why your friend's son is getting involved in the loan between his mother and you. I understand he has power of attorney for her, but ordinarily, the only time that would come into play is if the mother was incapacitated in some way and could not direct her own affairs. Otherwise, the loan should be a matter between you and your friend only.

Did you and your friend put the terms of the loan in writing? If you did and your friend is incapacitated and her son is now managing her affairs, provide him with a copy of the loan agreement. He is not entitled to change the loan terms. If you do not have a written loan agreement, the you are in a more difficult situation and you and the son will need to try to resolve the matter of the loan together somehow given that there is nothing on paper to document the terms of the loan.

If your friend is not incapacitated, then you should have a conversation with her about what her son is demanding. Perhaps she has decided she wants you to repay the loan more quickly than you are and she feels uncomfortable talking to you about that fact and so she has asked her son to talk to you.

Because I do not have all of the facts about your situation, I really cannot give you a definitive answer about what to do other than try to work things out amicably and share your loan agreement with the son, assuming you have one, if he is in fact in charge of your friend's affairs now. If your situation becomes increasingly complicated or you are threatened with legal action by the son, schedule an appointment with a consumer law attorney in your area who helps people resolve debt collection problems.

One final word of advice. As you have seen for yourself, loans between friends and family members are generally not a good idea. Too often the loans are made too casually -- without written agreements -- and even when there is a written loan agreement, the loans often create rifts between lender and borrower.

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