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Posted

what was the financial burden some of you have suffered as a result of a divorce. My best friend who is in the process of a divorce is probably gonna need my help and have a feeling its going to be financially. Him and his wife dont have any kids , however they have mutual assets and own a business together. Just want to know what im getting into before i help him.

Posted

Be careful...very very careful. Don't offer your help financially. Maybe recommend a financial adviser or have him ask the lawyer for an adviser. My husband and I are separated and have been discussing the terms of a possible divorce settlement. We have significant assets without a lot of debt. He will owe me a substantial amount that may require him getting a loan from the bank or a family member. It's a very sticky situation to be in because I don't want a divorce but if I am forced into one I want to make good financial decisions.

 

They may be able to reach a settlement that has him paying her off on a monthly basis as a type of alimony. Like paying off a home loan.

 

He's your friend but does he have any collateral to put up against the loan. Will he be able to pay you back within a reasonable time table?

 

Should you choose to loan him money make sure to make it legal and binding. Charge him an interest rate lower than the bank.

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