consensual agreement

[loopylu36]

I am in the process of buying a flat having been pursuaded to by my friend, he is only a friend and also married but said that as he had �10k hidden away he would lend it to me no strings as a deposit against a property, i returned 2 bank drafts to him before he convinced both myself and my family that this was a genuine offer to be repaid when my mortgage term comes to an end in 2 years time, i have exchanged contracts, 2 weeks ago he turned up on my doorstep and announced that his wife had asked him to leave and could i please speed things up as he wished to move in with me, i point blank refused and now he wants his money back or for me to sign a consensual agreement to his putting a charge on the house, the money was given in a bank draft made out to my solicitor, can he do this and if so will it cause me problems come the time i need to remortgage?

[teag1rl]

I'm sorry, I dont have an answer for you, but some friend he turned out to be!!

[BellaWalls]

Go to www.moneysavingexpert.com, they have some great forums and lots of legal minds who would tell you the best thing to do. Personally I would tell him to PI** OFF and he will get his money back when you are good and ready!.

Good Luck
Bella

[WendyS]

I'm wondering if you and your friend had a legal agreement drawn up to cover this loan.
I'm not sure what your legal position is, I'm afraid. The only advice I can give you is "never borrow money from a friend, or lend it either". Sounds hard but it's not worth the aggro if things start to go wrong.
Sounds like your "friend" is a bit unreliable anyway if he's hiding money from his wife. I'd be inclined to tell him to "back off" otherwise you'll tell his wife about the hidden money !!

[flipflop104]

Sounds to me like a set up.

ie. he knew his wife wanted him out, offered you the money to invest in a property in the knowledge that he would then have a "stake" in it and could move in with you.

[themas]

If the loan was definitely for 2 years and the terms did not include any strings whereby it might be attached to the flat then it seems to me he has a normal unsecured loan and he can do nothing until the 2 years are up.

However, if the agreement was not in writing you could have a problem unless you have witnesses who could testify to the accuracy of your version of what was said. If there are no witnesses its your word against his and becomes a matter of who the judge believes if it goes to Court.