NSW Personal Loan to Ex - How to Get Money Back?

[Amber neale]

My ex owes me $950 and I'm not sure whether there's anyway to make him pay and make sure he pays the full amount back to me? When we were together we made an agreement together that he would pay back the debt at $100 a fortnight, but it was only a verbal agreement (personal loan). Now that we have broken up he is delaying paying me back, promising me he will and then dragging it out; and making me nag and annoy him for the money which I don't want to do. I have suggested automatic payments to make it easier which he has said he would sort out, but has not and I'm fed up asking him every day to pay me back.

Is there anything I can do legally to give him incentive to pay me back on time and when he said he would?

 

[Sarah J]

Hi Amber,

Do you have:

• Evidence of having made the verbal agreement with your ex?
• Evidence of the due date for repayment?
• Evidence of you having leant the money to your ex (i.e. paid the money to him, and that the payment was a loan)?
• Evidence of your ex admitting that the money is a loan with him intending to repay you?

A verbal agreement forms a contract. If your ex fails to comply with the contract, then he is in breach and you can sue him to reclaim the debt. The difficulty in your case is proving that (i) there was a contract entered into, (ii) the terms of the contract, and (iii) that he breached these terms. This is why I asked the above questions.

 

[Darren Fletcher]

Forget the debt, move on and it will be the best $950 you ever spent!

I believe that he owes you, I believe that he knows he owes you. Maybe you can prove it in court, maybe you can't but even if you win, you lose.

He is using the debt to maintain ties. Do not enable him. If you ever establish the validity of the debt and have it legally enforced, it will cost you so much time and money to get there that it will hardly be worth it - and then he can run rings around you while you try to have the settlement enforced.

The best thing you can do after forgetting the debt is to forgive him because unless you forgive him, you will never be able to forget him.

 

[Ivy]

In support of @Sarah J 's comments, before you try to recover your debt from your ex in the NSW Civil and Administrative Tribunal, you would need to send a letter of demand. The letter of demand may be enough to get your ex to pay up under threat of further legal action.
Have a read of this blog post:
How to Recover a Debt - Useful Tips - Legal Blog - LawAnswers.com.au