Ways to pay a debt back - Page 2

Shoonra · #11 09-14-2007, 08:32 AM

I think it is significant that DiM and some others haven't put in their suggestion for paying this friend back in funny money like those "Certified Promissory Notes" or "International Bills of Exchange" or similar trickery. After all, they think it will work with credit card companies and the tax collector, why not with someone to whom you owe 98 Large?

David Merrill · #12 10-10-2007, 03:14 PM

Quote:

Originally Posted by Shoonra

I think it is significant that DiM and some others haven't put in their suggestion for paying this friend back in funny money like those "Certified Promissory Notes" or "International Bills of Exchange" or similar trickery. After all, they think it will work with credit card companies and the tax collector, why not with someone to whom you owe 98 Large?

If you tender legal tender within three days the debt is paid off. It does not matter if he tenders the bond to the Treasury - it is still paid off. However he will not appreciate what scrutiny might arise from tendering the bond to the Treasury for setoff.

As well as "fraudulent conveyances" suggested by Shoonra. That would work for TV ten years ago but it is probably too risky these days.

I suggest cash. If anyone wonders where he is getting so much cash - and he feels obliged to answer, he can just disclose the loan and that you paid him back in cash.

I may be missing something here but it seems that in lending out $98K he would have had to make some disclosures about having those funds. Being paid back is not the problem.

Regards,

David Merrill.

Shoonra · #13 10-10-2007, 04:01 PM

I had not mentioned "fraudulent conveyance", which is usually involved in bankruptcies and concealing assets from creditors.

Legal tender will certainly satisfy the debt, but I don't see the magic about "within 3 days". But a bond is not legal tender and certainly the document you had in the thumbnail - a homebrew "letter of credit" - is no tender at all.

manros · #14 10-10-2007, 04:30 PM

The origin of the funds is "clear". I will advise him to take all the money out , CASH. People at the bank will think he is an eccentric (they have fabricated a bad reputation for cash). But that will be the end of it.

Thanks to all. Thanks, David.

David Merrill · #15 10-10-2007, 05:55 PM

Very well then. Glad to be of help.

robhalford88 · #16 10-10-2007, 07:45 PM

Quote:

Originally Posted by Shoonra

I had not mentioned "fraudulent conveyance", which is usually involved in bankruptcies and concealing assets from creditors.

Legal tender will certainly satisfy the debt, but I don't see the magic about "within 3 days". But a bond is not legal tender and certainly the document you had in the thumbnail - a homebrew "letter of credit" - is no tender at all.

First of all, we KNOW shoonra, ok? A bond, bill of exchange and the like are negotiable instruments as you well know. AND, I bet you know about the bankers acceptance which is 72 hours, or 3 days.
Stop pulling our plonkers.

Shoonra · #17 10-10-2007, 08:38 PM

You are mixing apples and golf balls. The 72 hours which used to be (and no longer is) the deadline for a bank's handling of a check is inapplicable to legal tender and to the creditor's acceptance of anything other than legal tender.

Negotiable instruments are not, themselves, legal tender. They are used to obtain legal tender. Calling something a letter of credit doesn't make it a valid one. Coming from a source with insufficient funds, it is no better than a bouncing check, and creates more problems instead of solving any.

robhalford88 · #18 10-11-2007, 03:10 AM

Quote:

Originally Posted by Shoonra

You are mixing apples and golf balls. The 72 hours which used to be (and no longer is) the deadline for a bank's handling of a check is inapplicable to legal tender and to the creditor's acceptance of anything other than legal tender.

Negotiable instruments are not, themselves, legal tender. They are used to obtain legal tender. Calling something a letter of credit doesn't make it a valid one. Coming from a source with insufficient funds, it is no better than a bouncing check, and creates more problems instead of solving any.

Are you really that stupid? What I said is nothing to do with the detritus you have here. I never mentioned legal tender, did I?
We KNOW negotiable instruments aren't legal tender, so as I said, stop trying to pull our plonkers.