Personal Guarantee On A Loan
Discussion
My Neighbour’s son bought a truck for £40k it has been repossessed and auctioned for £7k. My neighbour had originally agreed to guarantee the loan but didn’t complete any paperwork. .
It turns out her son had completed the paperwork, forged her signature and that of a made up witness who doesn’t exist.
The loan company have now come after her for the balance.
She is retired and only really has her house and a small pension.
I have advised her to book an appointment with citizens advice in the new year.
Any thoughts or advice for her.
Her son won’t be of any help and has disappeared somewhere so he cant be pursued (I understand he is living elsewhere under an assumed name).
It turns out her son had completed the paperwork, forged her signature and that of a made up witness who doesn’t exist.
The loan company have now come after her for the balance.
She is retired and only really has her house and a small pension.
I have advised her to book an appointment with citizens advice in the new year.
Any thoughts or advice for her.
Her son won’t be of any help and has disappeared somewhere so he cant be pursued (I understand he is living elsewhere under an assumed name).
The Ferret said:
You say she originally offered to guarantee it. If she only has her house and a small pension, what was she going to do if he defaulted (like he has) ?
Putting that aside, the answer now depends on how much she values her sons freedom I guess.
Also she looked at doing it and decided against it.Putting that aside, the answer now depends on how much she values her sons freedom I guess.
Gnevans said:
Ok
She had cash and has now not got any as she has helped her son.
Her son is living under an assumed name and wont be found by the lender.
Sounds like a really nice lad.She had cash and has now not got any as she has helped her son.
Her son is living under an assumed name and wont be found by the lender.
Like I said, one of them is going to kop it, all depends on how much she values his freedom.
One thing I wouldn't be doing is leaving it until new year.
Ultimately, her son has forged her signature on a document and that of a witness.
She therefore needs to report this as fraud, presumably she can back up this accusation.
Where her son is and how he is found is up to the finance company and the Police.
She just needs to be aware that she will be dropping him into a criminal case. If she's OK with that, it's no different than if he was a friend/acquaintance in legality terms.
She therefore needs to report this as fraud, presumably she can back up this accusation.
Where her son is and how he is found is up to the finance company and the Police.
She just needs to be aware that she will be dropping him into a criminal case. If she's OK with that, it's no different than if he was a friend/acquaintance in legality terms.
You state the son forged the signature of the woman and a witness. Can she prove that is the case?
If she gets any form of advice (no matter who it is from) that is the first question that will be asked.
If we assume she can prove that the signatures were forged the only advice will be to involve the police. A crime reference number will then be issued and that is the only way initially to hold off the debt collectors.
I can understand that as it's her son, she probably doesn't want to contact the police. However she has no choice otherwise the debt collectors will pursue the claim to a very nasty ending. She is liable until she can prove otherwise.
If she gets any form of advice (no matter who it is from) that is the first question that will be asked.
If we assume she can prove that the signatures were forged the only advice will be to involve the police. A crime reference number will then be issued and that is the only way initially to hold off the debt collectors.
I can understand that as it's her son, she probably doesn't want to contact the police. However she has no choice otherwise the debt collectors will pursue the claim to a very nasty ending. She is liable until she can prove otherwise.
Had he been in desperate financial circumstances and used her signature in order for example to keep his house then one might possibly have some sympathy, but he is just a greedy little fecker who wanted to waste £40k on a truck and plainly has no regard for her. I hope she sees sense and treats it as the fraud it is.
I would start by notifying the lender and police that her name and signature have been fraudulently used, and there is presumably no actual witness who will confirm that they countersigned which will support her version of events.
I would start by notifying the lender and police that her name and signature have been fraudulently used, and there is presumably no actual witness who will confirm that they countersigned which will support her version of events.
It will take a while to play out. No need to inform the Police at this stage.
The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
Unreal said:
It will take a while to play out. No need to inform the Police at this stage.
The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
Try autotrader. Plenty of vans there that cost £40k and now up for £7k.The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
I will tell her to reply as above.
Unreal said:
It will take a while to play out. No need to inform the Police at this stage.
You will absolutely have to go the police - the loan company will have heard "oh that's not my signature" before and aren't just going to write-off £40k.It's more common in reverse - the parent takes out credit (loan / credit card) using the details of the child.
Jakg said:
Unreal said:
It will take a while to play out. No need to inform the Police at this stage.
You will absolutely have to go the police - the loan company will have heard "oh that's not my signature" before and aren't just going to write-off £40k.It's more common in reverse - the parent takes out credit (loan / credit card) using the details of the child.
She should reject the claim from the insurance company for the reasons given and let them make the next move.
Take emotion and family relationships out of the equation. If you received a letter claiming you were a guarantor and you know it wasn't your signature on the agreement, you'd politely tell them that and see what they did next.
There is NOTHING that the finance company can do without a court order and we are a million miles away from that.
The biggest no no is ignoring them. The second biggest one is providing any information or suggesting anything that you don't need to do.
Gnevans said:
Unreal said:
It will take a while to play out. No need to inform the Police at this stage.
The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
Try autotrader. Plenty of vans there that cost £40k and now up for £7k.The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
I will tell her to reply as above.
I can buy a £100K car for £10K pretty easily too.
How old is the van in question?
Steve Dean said:
You state the son forged the signature of the woman and a witness. Can she prove that is the case?
If she gets any form of advice (no matter who it is from) that is the first question that will be asked.
If we assume she can prove that the signatures were forged the only advice will be to involve the police. A crime reference number will then be issued and that is the only way initially to hold off the debt collectors.
I can understand that as it's her son, she probably doesn't want to contact the police. However she has no choice otherwise the debt collectors will pursue the claim to a very nasty ending. She is liable until she can prove otherwise.
The burden of proof is on the lender not the people whose signatures have been forged.If she gets any form of advice (no matter who it is from) that is the first question that will be asked.
If we assume she can prove that the signatures were forged the only advice will be to involve the police. A crime reference number will then be issued and that is the only way initially to hold off the debt collectors.
I can understand that as it's her son, she probably doesn't want to contact the police. However she has no choice otherwise the debt collectors will pursue the claim to a very nasty ending. She is liable until she can prove otherwise.
She doesn't have to inform the Police at this stage.
The lender will have to carry out an investigation and pause any recovery action while they do that.
Did she receive on her address any confirmation about loan documents for the car? This would be proof for finance company that she knew about it. If she didnt receive anything then how could she know about a fraud. She didnt agree to fo it at all as far as the world is concerned.
Everything else is a s
t show. How can you report your child to the police… terrible position to be in.
Everything else is a s
t show. How can you report your child to the police… terrible position to be in. Unreal said:
Gnevans said:
Unreal said:
It will take a while to play out. No need to inform the Police at this stage.
The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
Try autotrader. Plenty of vans there that cost £40k and now up for £7k.The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
I will tell her to reply as above.
I can buy a £100K car for £10K pretty easily too.
How old is the van in question?
ConnectionError said:
Unreal said:
Gnevans said:
Unreal said:
It will take a while to play out. No need to inform the Police at this stage.
The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
Try autotrader. Plenty of vans there that cost £40k and now up for £7k.The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
I will tell her to reply as above.
I can buy a £100K car for £10K pretty easily too.
How old is the van in question?
Unreal said:
ConnectionError said:
Unreal said:
Gnevans said:
Unreal said:
It will take a while to play out. No need to inform the Police at this stage.
The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
Try autotrader. Plenty of vans there that cost £40k and now up for £7k.The first thing she should do is to reply to the loan company and inform them that her signature was false as well as the witness details.
Then wait for their move.
While we're waiting for an update - where can I buy a £40K van for £7K?
I will tell her to reply as above.
I can buy a £100K car for £10K pretty easily too.
How old is the van in question?
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