Loaned money to a friend

[rebwag56]

What is the name of your state? Texas

Eighteen months a go a friend came to me and stated that she in a tight place and needed 5000.00 or she was going to lose her house.I didnot have her sign a statement about the 5000.00 because she stated in an email that she would pay me 200.00 a month after the first of the year, I have not been paid any of this money.Do I have a chance of seeing any of this money or should I write this off as a bad debt?What is the name of your state?I live in Texas

 

[racer72]

Does this person have the money to pay you back or property that could be siezed if you won a judgment? If the answer is no, don't waste your time.

 

[outonbail]

Do I have a chance of seeing any of this money or should I write this off as a bad debt?

What has she said when you asked her these questions?

 

[dcatz]

If you’re speaking figuratively, as opposed to literally, about writing this off as a bad debt, racer’s response is the only one that you need concern yourself about. But, if you’re thinking of claiming this as a bad debt on a tax filing, you’ll find that the IRS requires a bit more than “Oh, well. One of life’s lessons.” To satisfy them, you’ll find that basically a debt must have been legally discharged (bankruptcy) or that you’ve unsuccessfully exhausted all reasonable means to collect. Your intent in unclear, so I’m not going to cite Regs, but if you want to satisfy the IRS, you may have to sue her and go through the motions anyway. Otherwise, it’s a gift.

 

[rebwag56]

Loaning money to a friend

Thanks for all of the information on retrieving money loaned to a friend. She has stated that I need to take her to court to obtain funds owed to me and that I am being childish in asking for my money. This person is does not have property and is putting her grandson thru college. She was the one who suggested that I take her to court to retrieve me money. I live in Texas

 

[outonbail]

Thanks for all of the information on retrieving money loaned to a friend. She has stated that I need to take her to court to obtain funds owed to me

Then file a case in small claims court tomorrow morning!

and that I am being childish in asking for my money.

You're being childish for asking for your five thousand dollars back? This woman is either a real nut case or there is allot more going on here.

This person is does not have property and is putting her grandson thru college.

Then why did your first post claim she asked for the money so she wouldn't lose her house?

She was the one who suggested that I take her to court to retrieve me money. I live in Texas

Then I'd give her what she wants. If you have proof that this money was a loan made to her, at her request
then take her to small claims court. This way you don't have to spend a bunch of money on hiring an attorney and going through a drawn out legal process, when there isn't much hope that you'll actually receive your money even with a judgment. You should be able to win a judgment against her in small claims court if you have proof the money was actually a loan. You can almost bet on her claiming it was a gift or paid in exchange for some sort of services.
Also, be aware that the burden of proof will be on you.