Cash, Gift, or Secret Loan?

Buying a home is for many, one of the most expensive purchases a family will ever make. Thankfully, many have friends and family who are willing to help finance this first purchase, usually for the down payment on the home. These types of funds are called “gift funds” and are not intended to be repaid. Gift funds allow young families the opportunity to purchase a home with the help of their family or in-laws.

Unfortunately, relationships can sour. What happens if those you once considered your friends and family demand their money back months or years down the line? What do you do now that your former friends or in-laws are suing you, claiming the money they gave was not a gift, but a loan meant to be paid back? You hire an attorney; don’t allow yourself to be threatened and bullied into paying back money you don’t owe.

Situations like this are all too familiar to us here at Mackey Law Group. They usually come up in divorce proceedings when one spouse’s in-laws want their “money back” from the son/daughter in-law. If you are being threatened by those you once trusted, hire a lawyer who will protect you and defend your rights.

By: Jorge Martinez, Esq