I am owed a large sum and now I see the prospect of it being repaid diminishing as the years go by. In the seventh year of a R300, 000 unsecured loan and still R240, 000 remains. The guy - a stranger to me for all intent and purposes - just pleads destitution and pays a paltry R700 or so but not every month. What are my legal options?
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Debt collection
- Thread starter Quixotic
- Start date
gimpex
Senior Member
Ideally it should be in writing but legally speaking a verbal agreement is just as binding ( unless related to property transaction ). If he has paid some part of the loan back then at least you can prove he owes you money.
If you can prove how much you lent him you have a case.
For others , amounts over 500k , you need to be registered. Under 500k you are okay to sue ( assuming you have a strong case otherwise it's more money lost )
If you can prove how much you lent him you have a case.
For others , amounts over 500k , you need to be registered. Under 500k you are okay to sue ( assuming you have a strong case otherwise it's more money lost )
A moment of sheer madness - a long story. I have a signed document where he agrees to pay back within 5 years or sooner as he was expecting his prospects to shortly change.
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HavocXphere
Honorary Master
You'll have to sue him for it - assuming the 5 years have elapsed.
It'll likely put him on the street & you likely won't recover the bulk of it. :/
Sheer madness indeed.
It'll likely put him on the street & you likely won't recover the bulk of it. :/
Sheer madness indeed.
dunkyd
Executive Member
RogueTr00per
Honorary Master
Wait, so then after 3 years one would have no claim against the person owing the debt? Is this a possible loop hole against donations tax?
Hemi300c
Honorary Master
Perscription, make sure he legally continues to acknowledge the debt and continues to pay. Make sure you keep recordings af all the communication even calls etc.
If he ducks and you cannot get the aforementioned or issue summons it'll prescribe.
If he ducks and you cannot get the aforementioned or issue summons it'll prescribe.
CharlotVixen
Well-Known Member
but as it had a 5 year payment plan and OP is still at times getting money....
The 3 years only commence after payment/coms stop. But also if debtor aknowleges by phone,sms/whatsapp that money is owed it then gains a prescription/judgement period of 30 years. Court will then rule a judgement and debtor can then be black listed just about indefinately.
And that is how bigger institutions handle the law in their favour....
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