IAG Posted November 2, 2016 Report Share Posted November 2, 2016 Can you take out a life insurance policy on someone who owes you money? Quick Google search done, but don't see clear-cut answer. Quote Link to comment Share on other sites More sharing options...
Cop Posted November 2, 2016 Report Share Posted November 2, 2016 Uh oh Quote Link to comment Share on other sites More sharing options...
WVU Posted November 2, 2016 Report Share Posted November 2, 2016 Write the money off on your taxes as uncollected debt. Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 Lol...no it's not like that. A close friend in Denver has some debt. He is paying high interest I'm sure, and would like to work out something that would be beneficial for both of us. The problem is he is 52 and a really big guy. He has an active job and strong as an ox,but no denying he is highly obese as well. He does not have health insurance, so probably doesn't have regular physicals with blood work. His brother was just diagnosed with very late stage prostrate cancer and this understandably is adding to his stress. He also rents my town home, so I think it could be argued I would have an insurable interest, but I don't know. Might have a hard time qualifying for a policy, but I assume if it's for just the amount of loan and not millions of dollars, they might not be as stringent? He would never stiff me, and would love to help him, but premature demise has to be a very real consideration, as I can't afford to just write off that kind of loss. Quote Link to comment Share on other sites More sharing options...
Guest boatboatboat Posted November 2, 2016 Report Share Posted November 2, 2016 Yes With insureds permission. Debt constitutes insurable intrest Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 YesWith insureds permission. Debt constitutes insurable intrestThank you. What are odds of him getting approved being highly overweight? Or would it just mean higher premium? Quote Link to comment Share on other sites More sharing options...
Guest boatboatboat Posted November 2, 2016 Report Share Posted November 2, 2016 What is ht and wt Quote Link to comment Share on other sites More sharing options...
milwaukee mike Posted November 2, 2016 Report Share Posted November 2, 2016 don't do it, the life insurance OR the loan now you're gonna be collecting loan payments AND rent from the same guy... someone that is obese and (like everyone else) could be out of a job at any moment do you want to deal with a friend living in your place that not only can't pay the rent, but can't pay you back the money he owes you either? Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 What is ht and wt6'3 and don't know but best guess is 350? Could be more even idk...he used to be just big all over. Really sturdy, but last time I saw him had a huge gut, He's an electrician and on his feet all day, and he goes to gym and lifts, but he eats...a lot. Obviously. Quote Link to comment Share on other sites More sharing options...
milwaukee mike Posted November 2, 2016 Report Share Posted November 2, 2016 the life insurance premiums are gonna more than offset the difference in interest and he's only paying high interest because he is broke and got into debt, how is that magically gonna change? Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 don't do it, the life insurance OR the loan now you're gonna be collecting loan payments AND rent from the same guy... someone that is obese and (like everyone else) could be out of a job at any moment do you want to deal with a friend living in your place that not only can't pay the rent, but can't pay you back the money he owes you either?Good point, I was thinking that if he lost his job it would be due to something that would qualify him for disability, but I guess plenty of scenarios which that would not be the case. Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 the life insurance premiums are gonna more than offset the difference in interest and he's only paying high interest because he is broke and got into debt, how is that magically gonna change?He makes 54k a year. The problem is his gf is a leech and hasn't worked in 2-3 years and he is covering the $1300 rent by himself, all utilities, and some of her things also. He is seriously the world's nicest guy and has done so much for me over the years. He might not even want to do something like this. I was just thinking of some way to help. Maybe I will point him towards Prosper. Quote Link to comment Share on other sites More sharing options...
milwaukee mike Posted November 2, 2016 Report Share Posted November 2, 2016 Good point, I was thinking that if he lost his job it would be due to something that would qualify him for disability, but I guess plenty of scenarios which that would not be the case. yeah and disability might be 20k/year, not much more than what would pay the rent/food/utilities the numbers almost never make sense on people that are in debt, they got there because they spend more than they make, and that almost never changes Quote Link to comment Share on other sites More sharing options...
milwaukee mike Posted November 2, 2016 Report Share Posted November 2, 2016 He makes 54k a year. The problem is his gf is a leech and hasn't worked in 2-3 years and he is covering the $1300 rent by himself, all utilities, and some of her things also. He is seriously the world's nicest guy and has done so much for me over the years. He might not even want to do something like this. I was just thinking of some way to help. Maybe I will point him towards Prosper. 54k after taxes is maybe 40k so on a monthly basis he takes in $3300, pays 1300 in rent, that's 2k left/month which is hard for 1 person to live on, let alone him and his girlfriend AND paying off debt/interest Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 yeah and disability might be 20k/year, not much more than what would pay the rent/food/utilities the numbers almost never make sense on people that are in debt, they got there because they spend more than they make, and that almost never changesYeah. Not a big deal.its not THAT much that his payments are killing him, but he will pay a bunch of interest. Wish he would lose that GF, but probably won't happen. He deserves better. Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 54k after taxes is maybe 40k so on a monthly basis he takes in $3300, pays 1300 in rent, that's 2k left/month which is hard for 1 person to live on, let alone him and his girlfriend AND paying off debt/interestSee I think it would be easy for him to live on $2k if it were just him. He doesn't have any bad vices...he probably spends more on food than anything. The association pays cable, water and trash, and I pay the $250/month association fees. Not a big deal, was just thinking it would help me as well...peer lending to someone I trust as much or more than myself. But you are right, I'm not going to offer it. Quote Link to comment Share on other sites More sharing options...
barman Posted November 2, 2016 Report Share Posted November 2, 2016 $1300?? HOW LONG before the place opens up? Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 $1300??HOW LONG before the place opens up? Lol.He gets the friends and family discount. Wow. Rents much be a lot higher than I remember. My first apartment in Denver was downtown in luxury high-rise and it was $600/mo and that was considered high at the time lol. Then again I haven't rented in 20 years. I probably will be selling in next year or two unless I decide to move back. Quote Link to comment Share on other sites More sharing options...
milwaukee mike Posted November 2, 2016 Report Share Posted November 2, 2016 See I think it would be easy for him to live on $2k if it were just him. He doesn't have any bad vices...he probably spends more on food than anything. The association pays cable, water and trash, and I pay the $250/month association fees. Not a big deal, was just thinking it would help me as well...peer lending to someone I trust as much or more than myself. But you are right, I'm not going to offer it. health insurance amount? even if work pays half he might be out 400/month car payment? 300-400/month at some point, if he has an older car it's gonna need repairs or die cell phone? another 100/month there's almost 1000/month and he hasn't eaten or done anything yet Quote Link to comment Share on other sites More sharing options...
barman Posted November 2, 2016 Report Share Posted November 2, 2016 yah..just joshing a bit....We pay $1300 here...but two car garage & fenced backyard to offset the condo assn amenities. Our true interest is actually further north in area to south side of Boulder Quote Link to comment Share on other sites More sharing options...
WVU Posted November 2, 2016 Report Share Posted November 2, 2016 IAG be honest, if the guy dropped his GF and 50 pounds would you be interested in him? Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 health insurance amount? even if work pays half he might be out 400/month car payment? 300-400/month at some point, if he has an older car it's gonna need repairs or die cell phone? another 100/month there's almost 1000/month and he hasn't eaten or done anything yetHe doesn't have health insurance..car payment $200. Phone $100... electric $100 debt $200 Quote Link to comment Share on other sites More sharing options...
barman Posted November 2, 2016 Report Share Posted November 2, 2016 IAG be honest, if the guy dropped his GF and 50 pounds would you be interested in him?STOP Quote Link to comment Share on other sites More sharing options...
WVU Posted November 2, 2016 Report Share Posted November 2, 2016 STOPI wasn't referring to you, haha Quote Link to comment Share on other sites More sharing options...
IAG Posted November 2, 2016 Author Report Share Posted November 2, 2016 IAG be honest, if the guy dropped his GF and 50 pounds would you be interested in him? As a roommate only. We did date longgggg. ago for a year or so and I ended it. We were platonic roommates for like 15 years though, up until I came back here. Then he met the gf and she moved in. So to answer your question I would be interested in him as a roommate and best friend type, but that is all, regardless of situation. Quote Link to comment Share on other sites More sharing options...
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