I took loan of 2K from the lic. lenders & only manage paying the interest as I cant raise the 2K to return the loan yet. I have recommended a friend to this lender. I gave the lender's contact no & my friend called for the arrangement of the loan. I didnt become their guarantor or signed any documents. I didnt also witness the transaction of the loan between them. Now my friend has been missing & the interest has accumulated for 5 months. The lenders are now harrassing me and demanded me to pay the 5 months interest. He has talked to my boss to get my salary freeze/deducted and warned me he is issuing me a lawyer's letter.
My questions are:
Am I responsible for the default payment?
Why is the lender issuing me a lawyer's letter instead of sending it to my friend?
There is no documentation proof of me signing any documents for the loans my friend took. Can I sue them if they issue me with the letter?
Does my company's have the right to stop my pay in order to pay the lenders?
2007-01-11 19:13:55 · 3 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
Thank you for your answers guys. I know that the lenders are threatening me as they have no other way to look for my friend. They have issued a lawyer letter sent to my friend's house but they are still missing. They may jolly well know that they cant issue me with the lawyer letter as I am not the guarantor. They cant demand on the 2k loan as i dont default any payment on the interest. However, I know the lenders will try all sorts of ways to get their money back. If I am being issued with the lawyer's letter, can I sue them? It is a verbal recommendations of my friend to the lenders.
2007-01-11 19:48:31 · update #1
If you did not sign any document to be the guarantor of your friend, you are NOT responsible for the default payment by your friend. The lender are probably trying to scare you regarding your friend loan, you should talk to them and firm with your right. They can't sent you any lawyer letter for the loan taken out by your friend, unless they are talking about the 2k you taken from them.
2007-01-11 19:34:01 · answer #1 · answered by Tan D 7 · 0⤊ 0⤋
If you did not sign any documents or agree to anything verbal, I can't see how you are liable. They should not even be contacting your employer. Tell them if they contact you again or call your employer you will file charges for harassment. Some companies will do anything to get there money, even scare tactics. Do continue paying on your loan.
2007-01-11 19:27:14 · answer #2 · answered by elisa p 1 · 0⤊ 0⤋
i think your friend is using ur IC (suppose you pass it to him) and he settle your paper work..in that case you are liable for any loan + interest unpaid
2007-01-11 19:37:17 · answer #3 · answered by dior babe 3 · 0⤊ 0⤋