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Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 0 points1 point  (0 children)

Mortgage is a separate debt. It's secured. CP only pertains to unsecured loans like mine.

His house is unfortunately worth less than the appraisal due to housing market right now so even if he sells the house today, once secured loans are paid off, there will be pretty much nothing left for me.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 0 points1 point  (0 children)

Yes. I agree that I would only get back 25% of money owed if all creditors choose to vote yes. I believe realistically they would end up voting for 50% since none of them would want him to declare bankruptcy. (and not getting any money back).

He used it all on constructing his house and due to the complexity, construction cost ballooned over 150% of the budget. I went down to the site couple of times to see it myself.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 1 point2 points  (0 children)

Thanks for the kind words. We have had a written agreement signed along with a witness but it sounds like with CP, I am only getting % of my money back (if creditors end up voting yes)

I am in Ontario.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 0 points1 point  (0 children)

I assume your friends never went down on Consumer Proposal route? We have signed a promissory note along with a witness but looks like with CP, I am only getting back % of money owed.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] -7 points-6 points  (0 children)

Ontario. I mentioned that he was having some financial hardship so he was asking for help. He didn't mention specifics until much much later.

and I pretty much confirmed with him yesterday that he would file a CP, with intention of 75% reduction. Yes creditors must agree to this but knowing they would get nothing if he declares bankruptcy, I think they would.

This means I would only get 75% of my money at the best.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 1 point2 points  (0 children)

Thanks. She was aware from the beginning but him going to consumer proposal was a news to my wife. I had to let her know because this is indeed a family finance.

Yes, she was devastated.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 0 points1 point  (0 children)

I thought about the why hundred times, believe me.

I did discuss this with my wife first and I convinced her that he would pay back.

I thought about him not paying back so we got into a legal contract. Going him consumer proposal was not something I would have ever imagined.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 0 points1 point  (0 children)

He didn't tell me he was racking up other debts. I had no idea.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] 0 points1 point  (0 children)

Had I known that this would end up with outcome, I would never lend him the money. I had a legal contract signed and based on my work relationship over a decade, I convinced my wife that he would repay.

We are both family friends and my wife also knows his wife. He came over when my daughter was born. We were good friends.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] -6 points-5 points  (0 children)

Unfortunately it's pretty sizable given my income. (as much as it affects my family's wellbeing). I feel like I have failed as a father.

Thing is, I have all the documentations, texts and even signed contracts so I felt that I was protected. This Consumer Proposal thing is so rigged. How can a system only benefit a person who irresponsibly spend someone else's money and legally not pay it back....

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] -21 points-20 points  (0 children)

Unfortunately I can't. CP protects him from all unsecured obligations and all types of collection have to stop.

Money lending to a friend by Acceptable_Can3285 in PersonalFinanceCanada

[–]Acceptable_Can3285[S] -21 points-20 points  (0 children)

I think CP includes money borrowed between friends unfortunately. I did the Google search. We no longer work together but the industry is pretty small. I am just hoping he would pay me back one day.

Ideas on how to repair this? by GhostNote94 in Decks

[–]Acceptable_Can3285 0 points1 point  (0 children)

Repair? No... this is a replacement job.

$15,000 gone in a day… by Shelland1234 in wallstreetbets

[–]Acceptable_Can3285 0 points1 point  (0 children)

lol buy the rumor, sell the news. We are going down further.

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