Here's a question for ya in these troubled times:

[dolo amber]

Say you get a loan. For 20G. From a bank. And filled out all the paperwork, answered all the burning questions, gave them your underwear size, blood type, etc. Y'know, the way you have to do things these days... :eyes:

Anyway...

Say you get a loan. For your son and his family, who due to recent financial troubles are unable to get it themselves. Say you get this loan to cover the anticipated loss they're gonna take on selling the house they've owned 6 months and to consolidate some debt.

Now say the house sold for what they owed. Huzzah! Say you decide they won't be needing the loan after all (forgot about the debt, apparently) and thus you decide the best thing to do is to...well, give the loan back.

Now let's assume you're Mr. Right Wing bank manager. (This is purely speculation, ftr.) Let's assume you notice a rather large loan was taken out and repayed in like...3 days. Are you going to report this? Does this smack of some nefarious drugs/weapons/harboring enemy combatants sorta deal? Does this raise a red flag of any type in your mind?

Purely hypothetically, of course. I certainly know no one *cough hedges' dad cough* who would do such a potentially haphazard thing. ;)

I'm not upset at all about not getting the loan, in fact I'm actually happy we don't need it (well, not *that* badly. ;)) I am concerned about the possible aforementioned scenario and if that's WAY out in left field, then I'm concerned this place has given me a permanently welded on :tinfoilhat:.

:D

[eyesroll]

1. Given that I know the hypothetical person in question...

...it probably would raise standard large-deposit red flags (if you deposit more than a certain amount at once, the bank is obligated to flag it and scrutinize it, but most of that is silent and unless there's a problem, you don't even know about it)...

But, as the man in question is a (hypothetically speaking) a white middle-class, Baby Boomer professional (retired), with a wife and a house and cars and so forth...there probably won't be anything much more than that.

His credit rating might take a temporary hit -- or might temporarily improve, because he paid off the loan...who knows? :shrug:

(Let me guess: He returned the loan without even discussing it with the hypothetical son, didn't he?)

[dolo amber]

3. He hypothetically is very...erm...daft, when it comes to money

:D

The entire process, as you can imagine, was so beyond rational it hurts my head to think about it.

S - "I think what we should do is let ME get you guys a loan. I'll make the payments and you can repay me."

V - "That's fine, I'd rather do that than you loan us anymore money."

S - "Fine then, I'll get you the loan and deposit it in your account. I'll give you the bank book and you can make the payments."

V - "Er...ok."

S - "Super! Let me know when you need it."

V - "Well, you should probably go ahead and get it, that way it's there when we need it."

S - "Ok, I'll do that when you know how much you need"

V - "Well see, the thing is, we'll have to have it to close, and I start work in Milwaukee on the 13. So we'll need it to finance the move, the apartment getting, etc.

S - "Sure, no problem. Just let me know when you need it."

D -


V - "But we're gonna need it ASAP...you should at least apply now, then whatever we don't need to pay off the house we can use to pay off credit cards"

S - "But how much do you need?"

V -

S - "I think what we should do is wait, then I'll just hold on to it and you guys can dip into it as needed for the move."

V - "We're gonna have to have it to close on the house before we can MOVE."

S - "Ok, well, how much are you going to need?"

D - :cry:


Edit to add: The whole "but how much will you need" thing took place approximately 30 seconds after he said it would be ridiculous to plan on getting less than 20G.

[eyesroll]

5. About as I expected...

"Daft" is as I remembered. (No offense intended to my ex-hypothetical-in-law, of course.)

[Droopy]

2. I would think that the only thing that you have to worry about

is a penalty on the early pay off on the loan. Some loans have that sort of stipulation. I've never heard of anyone getting hassled by the authorities for that.

[dolo amber]

4. You're probably right

I hope, anyway. Mr. Hypothetical wouldn't do too well in Gitmo. :scared:

;)

[DS1]

6. If I were you, and got that loan

I'd put it in the highest interest savings account I could buy, and just use it to buy myself some good credit.

It's all about them making money off you one way or another.

Hypothetically, of course.

[SofaKingLiberal]

7. It may set off a flag with DHS.

That happens now if you pay too much on a credit card. So it might apply to loans too.

http://www.shns.com/shns/g_index2.cfm?action=detail&pk=RAISEALARM-02-28-06