Loans with high interest rate
Narayan
(Querist) 16 May 2015
This query is : Resolved
Dear Experts,
I require a valuable suggestion from the experts advocates for my current Situation.
My Situation is explained below:
I got a loan of 70 thousand rupees (Year 2013) from my friend at 10% pm Interest. I was paying Rs.7000 monthly for 7 months till Dec 2013.
I couldn't able pay him since Jan 2014 till date because my mother was sick and passed away on 24.03.2014.
I have transferred all money through NEFT and I have proof for it. He don't have any documents for giving me the loan.
I had settled two times 70 k prior to this loan, that was also settled by NEFT.
Now, my friend is not trusting me and started using abused words about my mother,tourchering me for settling the loan with due Interest.
My Question to the experts are as follows:
1.Can I ignore him without paying.
2.Can I send him legal notice to pay the loan Amount of 4 Lakhs (Approx) - Interest transferred thru NEFT.
My intention is not to give him because he has used abused words about mother.
Post your valuable suggestions,
Kindly provide your suggestions to my e-mail id balajinarayan1985 (AT) Gmail.com
Kumar Doab
(Expert) 16 May 2015
The one that can prove that his/her money is due to be paid can press to recover.
Does your friend have money lending license?
The person that charges 10%/pm interest is not a friend.............
You borrowed money, hence you should pay.
He abused and charged usurious interest, hence is no more a friend.
Close the matter and don't borrow again.
Rest is upto you.
Narayan
(Querist) 16 May 2015
Sir ,
He don't have any money lending licence.
Advise me please sir
Regards
Narayan N
Anirudh
(Expert) 17 May 2015
You say that he is not having any proof of having given you the money.
1. Did he give you the money i.e. 70K by means of cheque or cash?
2. Do you mean to say that you did not give him any promissory note?
3. Do you also say that you did not give him any signed cheque to be used by him in case you failed to pay the loan?
Rajendra K Goyal
(Expert) 17 May 2015
If you want to give, better pay and say goodbye to him. He has helped you and given you the money and has right to recover.
Guest
(Expert) 17 May 2015
Mr. Narayan, the audit consultant,
Your story is quite unbelievable, RATHER AN ACADEMIC QUERY.
First of all, you may like to clear what sort of this friendship was that a friend preferred to charge such an exorbitant interest of 10% per month from a friend, which even professional money lenders don't try to charge even from unknown persons, what to say of a friend?
Secondly, being an audit consultant, were not you aware of the prevalent rates of interest when your friend intended to double his money within just 10 months? What was the rspecific reason that you did not question him on such an exorbitant monthly interest rate equivalent to a year's interest rate?
Thirdly, what is the reason that you felt the need now only for suggestion from the experts advocates for your CURRENT SITUATION without discussing your situation of that time when you borrowed money?
Fourthly, as you have posted your query under the caption of criminal law, in your own views, what type of crime do you think your friend has committed?
T. Kalaiselvan, Advocate
(Expert) 18 May 2015
The author may answer the queries raised by expert Mr. Dhingra, because it seems that an imaginary concept has been posted to update academic knowledge.
Biswanath Roy
(Expert) 27 May 2015
Really a good observation and lawful comment by Learned Dhingra ji. I appreciate.
