Lies and Excuses All Lenders are Familiar With

Lending money to others is not the most ideal business to be in.

Debtors will find any excuse to either borrow more than they can repay, or to never repay at all. Experienced moneylenders have been in the business long enough to know the crazy excuses many debtors use.

Most ignore the lies when they are lending money. But no excuse is acceptable when the money has to be repaid. Here is a list of some of the most common lies and excuses debtors often give to moneylenders:

I’m Getting a Promotion Soon

Personal loans are mostly provided on the basis of current income. Moneylenders usually impose a limit on how much you can borrow depending on how much you earns. So, when people try to borrow money, they tend to exaggerate their income level to qualify for a bigger loan. Moneylenders are, of course, detail oriented. When subsequent background checks reveal that the potential borrower, in fact, earns less than claimed, the excuses break loose. The most common excuse given when asking for a big loan is that the borrower will soon get a promotion at work. Therefore, he or she will be able to afford a loan that cannot be paid with the current income. No moneylender is stupid enough to fall for this.

I Will Repay When I Get My Paycheck

Giving a loan is easy; getting it back is not so easy. The most common excuse given for not repaying a loan on time is that the borrower will certainly pay up when the next paycheck arrives. And then the next month, the same excuse. On and on it goes. If the debtor if to be believed, the employer never transfers the paycheck on time. Well, this excuse does not work with serious moneylenders.

So Sorry, I’m Dead

As outlandish as it sounds, some debtors claim to be dead when the collectors come knocking. Usually, someone using the same phone number as the debtor claims that the debtor, who originally used the phone, is now dead. Who can collect money from dead people?

I Got Into a Terrible Accident

One of the oft heard excuses for wanting to borrow money, and not pay it back is the accident. Some borrowers justify wanting to get personal loans claiming they have had a horrible accident and need money right away to pay medical bills. Then, the same excuse can be heard several weeks later for not repaying the loan. Moneylenders are very used to hearing messages like this: “I’m in the ER right now. My leg snapped in two/ spleen exploded/ spine cracked, etc.”

My Aunt/Uncle/Grandparent Died

Some debtors use the same excuses that they did with schoolteachers and employers with moneylenders as well. It’s not uncommon to hear of an unfortunate, but well timed, family death making the debtor unavailable for a significant period of time.

If you need to borrow money, do not use the above excuses. Moneylenders know them very well. Also, if you are unable to repay a loan, don’t use a lame excuse like one of the above mentioned ones. Just be honest so things don’t get worse.

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Financial Perks of Moving in With Your Partner

Moving in with a significant other is a milestone of any serious relationship. In fact, marriage experts highly advise couples to try living together before getting married. That way, you two can know for sure if you can bear each other’s company for another twenty or thirty years.

Other than the emotional perks, there are plenty of financial benefits of moving in with a partner as well. Money can be a difficult subject to discuss before marriage. But it’s a must as well. If you are moving in with a partner, or are deciding to, here are some financial advantages you may be able to enjoy:

Two Makes More Money

When you live alone, you only have a single income. When you live with a partner, you are supported by the income-earning prowess of two. That means there will be more money available to eat something other than ramen for dinner. Also, if one of you gets demoted or laid off, the other can provide financial as well as emotional support. Households with two wage-earners are generally more financially secure than ones with a single wage-earner.

Share Rent

Rent in big cities can be very, very expensive. It’s usually the single most costly expense for many young people who are just entering the workplace. Some people have to work two jobs just to cover the rent. However, if you move in with a partner, both of you can share the burden of rent. You will only have to pay half for a single-bedroom unit. Doing so will certainly ease a financial burden for both of you.

Use One Car to Reduce Transportation Costs

Another big expense in everyday life is commute. If you are young, have a car, and are paying insurance, repairs and gas can be quite costly. However, if you move in with a partner, you two can share a single car. Go to work in the morning together, go out together, and travel together to save up on gas. Like with rent, you can share the costs of owning a car as well. This is an ideal solution for certain cash-strapped car owners. If you run into serious money trouble, you can lease your car, and use your partner’s if needed.

Open a Joint Bank Account

If you live together and share an address, you two can open a joint bank account. Having a joint bank account can reduce certain fees and taxes you have to pay. Also, it can make paying certain household and utility bills more convenient. You may even be able to save together.

Invest Together

Also, both of you can invest together. Your combined income will be big enough to invest in high profile, lucrative deals and make a killing. You might even be able to pool your resources and invest in the highly profitable real estate market.

You must also take some precautions when you decide to share your income with someone else. Remember that you two are not married, so certain legal protections that come with a civil marriage will not apply to your relationship. Therefore, it’s advisable to have a “no-nup”, a legally enforceable set of terms of agreement, before moving in together.

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