Loan Documents: Document Your Loan With Friends and Family Part 1

Loan Documents: Document Your Loan With Friends and Family Part 1

You may be at a point in your life where you are learning how to manage debt in your life. You may have creditors, debtors, and friends and family who have leant you money over the past months or even years. Most of the loans with friends and family are not secured and not even documented. The Loan Document is a very important tool to helping you, almost as important as the money that was originally leant to you.

Believe it or not, but documenting your loans could save you from Bankruptcy and financial peril. Why is this? In Canada, the Bankruptcy process is initially put into a dispute process of which your creditors can vote to put you into Bankruptcy or vote on a negotiated settlement. In order to be heard in these settings, you need to have a documented loan. Thus, the loans between your friends and family if documented, can apply to the situation. The majority of your debtors decide and negotiate the settlement agreement.

By documenting loans with your friends and family, you can accrue a group of positive debtors that can vote against bankruptcy and in favour of your settlement. Sometimes this can be done for pennies on the dollar. Thus, documenting a loan could save you if you are in a personally tough spot financially and face the possible decision of bankruptcy.

If you need to document your loans with friends and family, I suggest purchasing a loan document from also known as Make sure you get all of your loans with friends and family documented. You can buy a loan document for as little as $59.99, versus paying a lawyer $100 for a simple document. Get those loans in writing now!