Ask Experts Questions for FREE Help !
Ask
    aperez's Avatar
    aperez Posts: 1, Reputation: 1
    New Member
     
    #1

    Jan 13, 2006, 11:46 AM
    Promissory Note
    I lent money to a so-called "friend" of mine where I had him sign a Promissory note. The promissory note explained the terms for re-payment. It also clearly stated the consequences in case of default. I also had a security agreement with his home and the contents being the collateral. I have recently found out that he has no equity in his home and owes a lot of people money.

    His first payment was an NSF check and he has also not sent the other scheduled payments.

    My questions are: what recourse do I have? Are the instruments valid? What is the process for recovering my money? How long does it take?
    mr.yet's Avatar
    mr.yet Posts: 1,725, Reputation: 176
    Ultra Member
     
    #2

    Jan 13, 2006, 12:04 PM
    Promissory Note
    You can file suit in the court to enforce the promissory note. If you obtain a judgment against him, you than have few options, wage attactment, attachment many property that was secured in the security agreement.
    Just some thoughts, not legal advice.
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
    Expert
     
    #3

    Jan 13, 2006, 08:06 PM
    Quote Originally Posted by mr.yet
    You can file suit in the court to enforce the promissory note. If you obtain a judgment against him, you than have few options, wage attactment, attachment many property that was secured in the security agreement.
    just some thoughts, not legal advice.

    You can as listed go to court and get a judgement, then put a lien on his property, It will only be of value normally if he tries to sell the house, in forclosures normally attachments will never see any money.

    Did you list specific household property, if so you may be able to get an order to take possession of the ppersonal property.

    And if you have a NSF check, take it to the proper department and file criminal charges for the NSF check.
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
    Uber Member
     
    #4

    Jan 14, 2006, 09:47 AM
    Lien
    Hello aperez:

    File a lien against his home. You don't need a judgment for that. No, it won't help you collect now, but if he tries to sell the home, or if it goes into foreclosure, he or the lender in first position, will still have to deal with you.

    Go to small claims court. It's quick (relatively), cheap and easy. You certainly should win a judgment. Collecting on the judgment, however, is going to be harder. The court should have a bailiff or constable who executes the judgment, but they need your help. As mentioned above, YOU need to supply the constable with the information about WHERE the debtor works, WHERE his bank accounts are, WHERE any of his property is.

    The bank account is the easiest to levy and it produces cash. That's what I would concentrate on, although this deadbeat probably has no money in there. But, you might catch him with some bucks in there.

    excon

Not your question? Ask your question View similar questions

 

Add your answer here.


Check out some similar questions!

Too much to expect a thank you note? [ 11 Answers ]

Twice in one year I have mailed a money order for $50.00 together with a wedding card and a personal note. One wedding was a year ago; the other was back in May. At the first wedding, the groom came up to me and said thanks for the money; the second wedding I didn't attend. Hmmm, maybe in...

Note enough cool air for whole house [ 3 Answers ]

I live in a fairly large south Florida apartment. In the summer it is hot (over 90 every day). The problem I am having is that all the cool air from the small ac unit is going into the bedrooms and not the liviing room and kitchen, which is one big area. This is causing the thermostat to read...

Note Receivable [ 4 Answers ]

Accepted a 90-day $1,000 note receivable from a company for services performed. How do I journalize this transacation? Note Receivables DR $1,000 and CR to which account? Thanks, Dell

Promisory Note [ 1 Answers ]

I have a promisory note from an individual who just declared bankruptcy. A letter was sent to me from a law firm and I was listed in it along with various other victims. What are my options if any? How can I make the best out of this with my tax return? Anything else?


View more questions Search