How to borrow money from a private person

When banking institutions refuse for various reasons in obtaining a loan to a person who needs material assistance, he is forced to occupy funds from a private person. This lender is not interested in the financial history of the borrower, it does not require a huge number of references and documents for issuing money, payments for fees and insurance. It can be agreed to reduce the amount of the phased contribution or the extension of the entire payment period if the debtor has financial complications. All the advantages for a potential borrower are obvious here: explicit saving time and money. Nevertheless, the safety of the transaction of this kind is to worry about all its participants. If this topic is relevant for you, then we will tell you how to make it so that everyone is good.

In order for the problems relating to the issuance and repayment of a private loan, it was less, the borrower and the lender must "legitimize" their relationship. This is achieved by the conclusion of the contract or writing receipt on the fact of the loan, which are certified by the notary in its presence.

This document must contain the passport details of the private lender and the borrower, the period of the payment period, the amount of phased payments, etc. With default or violation of the conditions specified in the paper, the affected party will have the right to apply to the court.

Big money almost always give rise to a certain danger. Private lending here is not at all an exception. Therefore, receiving funds from my investor, it is necessary to insure yourself of possible facts of fraud.

There are no cases when the lender "forgets" about the part of the debt redeemed by the borrower and puts it relevant requirements. To eliminate the failures in the memory of such an investor, the debtor needs to demand a receipt from him whenever when the amount of money loan is returning.

And last. As an option, urgent receipt of money from a private person has the right to life. Not forgetting the risks associated with such lending, the borrower needs to know all the subtleties of this process itself, or to enlist the help of a lawyer. And always remember that any financial dependence creates an unhealthy dream. Good luck to you and the world!