A new approach to the 'family bank'


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  • Hutterite American Fork, UT
    May 31, 2013 5:24 p.m.

    I like the 'motel 6' approach. Check out time is 18.

  • rnoble Pendleton, OR
    June 2, 2013 8:41 a.m.

    I have often co-signed a loan for a child but have had no success with making the loan direct. The child often doesn't respect the difference between a loan and a gift when working direct. I have found that enabling the loan from someone else maintains that business relationship on the money. They know they have to repay. If I end up paying then I take control of the asset; usually selling it as soon as possible so there is no arguments about using the asset without paying for it. They get a chance to grow responsible and I get to help but not be taken advantage of. Between the "foreclosure" and the "good standing" of the loan, the child gets some slack in timing of the payments without being able to feel like they don't have to pay. In the case of car loans my name is on the title and I maintain the insurance for which the child pays. (That is usually much cheaper which gives yet more slack to the child)