I know bankruptcy cannot be claimed on certain things like student loans. Does that rule apply to debts to another person such as a civil suit? (I might have heard of it, but not sure if it is true)
A friend of mine owes me $3500 dollars because the credit I allowed him to use was supposed to be for refueling his truck (tractor trailor business). I am much wiser now about credit I was 18 at the time. The bill got up that high because the truck broke down and he used the card to get it fixed. I found out he just declared bankruptcy. He makes the payments every month of $100. Just in case they stop coming in, I wanted to know is/was it possible for him to declare bankruptcy against me if I ended up having to sue in the end?
I'm not sure if the bankruptcy is complete or not so I'm not gonna hint at it to him yet in the event that the bankruptcy can be declared against me.
2007-10-08 04:29:23 · 2 answers · asked by mchiefs40 2 in Business & Finance ➔ Personal Finance
He can't include you on his bankruptcy because you are not an official creditor. What you gave him was a personal loan.
If he misses one single payment, get your butt to small claims court and sue him for the balance. Don't let him take advantage of you.
2007-10-08 04:38:21 · answer #1 · answered by Anonymous · 0⤊ 3⤋
Yes, he CAN have your unsecured loan discharged in bankruptcy. He may not have to. Unless you can prove there is an actual loan, you can't force collection. Either the loan does not legally exist, or it IS subject to bankruptcy.
2007-10-08 06:35:17 · answer #2 · answered by STEVEN F 7 · 0⤊ 0⤋
First of all, you have to declare and file for bankruptcy. Just you and no one else. I would contact your credit card company at once and changed your account number. You are responsible for your bill and I would inform you friend not to use your card no more. I would get some legal documents and have your friend agreed to a payment plan with you so you can pay off your bill. I quickly figured up your balance of $3,500 at 7.99% interest (probably too low) and the minmium payment is around $75 per month. Do you realize it would take you at least four to five years to pay it off with nothing else added on your credit card? Do not ever loan money or go into business with family, friends or relatives. Good Luck.
2007-10-08 05:26:01 · answer #3 · answered by Gary 5 · 1⤊ 3⤋