Friend asked dh for 2 year loan

If your husband is insistent on making this loan, he should pay it directly to the person his friend is in debt to. His friend will have no issue with this if he is being genuine.

But as PP have said, your DHs friend owes this money as he has not been paying his other loan back...so where does he intend to magic up repayments from now? If they're living beyond their means, his wife isn't going to suddenly start spending 2k a month (or whatever the repayments are) less without asking questions.

Your DH is making both of you complicit in a massive, potentially marriage-ending, certainly life-changing lie. That is completely unfair. How will you look them in the eye?

Overly kind or not, if your DH has £25k cash to effectively give away, he's presumably successful/business savvy and not an idiot...so is he having a contract drawn up for this loan? Is he prepared to take his friend to court when he doesn't pay, take his house/car etc? Because that's what any other money lender would do.

I get it, OP. Your husband is a good man. You love him and you trust him. I’m sure you are right to do so. I also trust my husband implicitly (although I’m the one with the business and I do all the finances).
However, what he is proposing is highly unusual, potentially damaging for the business should your husband’s motives ever be called into question, and could have potentially devastating consequences for your relationship with the other couple and their relationship with each other.
Your husband’s decision to take his friend’s explanation at face value is ringing more alarm bells than a nuclear attack. Everyone on this thread is trying to warn you of the potential consequences.
From your perspective, you are a director of the company. This means you have legal responsibilities under the Companies Act. You have a legal obligation to understand these responsibilities and to act on them. You can’t bury your head in the sand on this.
This loan, however you spin it, is so clearly not in the best interests of the company that the independent directors need to record their concerns and do whatever they can to stop it. It’s not a question of you making “business decisions”; it’s a question of you carrying out your basic duties as a director. The Companies Act expects you to be independent of your husband in this matter. If you can’t carry out your responsibilities independently in the best interests of the company you need to resign the directorship. You need to read and understand the Companies Act. You’ve been put in an invidious situation here. The secrecy is making it ten times worse. You are in danger of breaching just about all the basic tenets of The Companies Act (see image) with this highly irregular loan. You need some professional advice here. I hope everything works out ok but you really need to protect yourself. Ignorance of the law is no defence.

Ensure you have a written signed contract, stating the date monthly payments will start and a time limit to be repaid by. Signed by both parties, should you go ahead.

So why start the thread? You are happy with financial decisions husband makes. You believe that the friend has just over spent and can and will pay back 25k in 12 months. You believe friend is suicidal but not such a risk to themselves that wife doesn't need to know so that they can get help for friend. You believe friend can save the 2k every month (he needs to save to pay back husband) by cutting back in luxuries. He can do this because it's just the wife over spending and he can get wife to cut right back on spending without her knowing she needs to and without her noticing she has 2k less to spend.

You have no concerns and everything will be fine with the business and your personal family money. Husband is just kind and generous but also very business savvy.

Baring all the above in mind begs the question why even start this thread?

He should be giving you reason now, I have a nagging suspicion that the friend has something on your husband.
They won't be friends as soon as the repayments stop anyway.

Unfortunately I'm sure your DH's friend's wife also believes the same. What makes you think you are really any different? You've already said you think if you intervene your DH may simply not tell you next time.

Your DH values friendships over money, but he may lose the friendship anyway. Friend might start feeling v awkward about not repaying and avoid you both.

Unfortunately Op you have none of the knowledge but you still have the responsibility.
Its not unusual for one party in a marriage to look after finances, I do it and DH has no idea what most things cost but he DOES have easy access to all of our accounts if he wants to see
However, you don't seem to understand that if you are a Company Director there are some things you really MUST know, understand and do or there can be sever consequences for you, not just your H, you.

It ties in though doesn’t it. There is no way my husband would dream of giving away 25k of our money. And I’d be well aware if he did! But yours doesn’t seem bothered about it or sharing details of money in general with you. Maybe it’s easier because then he can do stuff like this.

If you don’t know how much disposable income you have how can you begin to even plan things in life. Day to day stuff but holidays, mortgages and sorting out your pension etc? Maybe this other wife is also totally naive of their income. I mean she has no idea her husband is thousands in debt….Maybe she never checks accounts too.

I’m sorry but you can’t possibly know that. Even you stating that as fact makes you incredibly niave

Actually OP, it is partly the point of the thread. You are uncomfortable with your husband lending/giving his friend a substantial amount of money. If you want to have any basis for discussion with your husband you need to be in possession of as many of the facts as possible.
You can't get facts from his friend but I would suggest you need to be in possession of the facts of your financial situation with your husband. You are married and your and his finances are irrevocably intertwined, including your Directorship of 'his' / your joint company.

OP - you are so right. Husband had major health issue, while the NHS kept him alive, after care non - existent….200 k later on rehabilitation (and counting). I wish the service was available!!!!

Get The accountant to put it all in writing

This is as worrying as the loan situation. My husband has Alzheimer’s and even though that has crept along I have had to pick up all the life admin he used to do once I realised he wasn’t able to. He was about to renew an insurance policy just because he couldn’t face doing a comparison to check if we could get it cheaper.

I was able to do that and the rest of the admin because I was aware of all of our financial circumstances; details of insurances, bank and credit accounts, savings, etc. I had the ‘luxury’ of taking over the reins over time but what would you do if, heaven forbid, your husband was suddenly unable to deal with things ?

Trust is fine but ignorance is not bliss.

Don’t you ever check your bank balance?

I don’t understand how you cant have more of a clue about this. If you don’t know what your income is, how do you know what you can spend. Where you can go on holiday etc?!

I don’t think the DH is intending to take the money out of the company i think that’s to soften the blow with his DW. It just doesn’t make any sense to from the company perspective. They can afford & have not been repaid sums larger than this before with a family member. There is a boys club element where they will keep eachothers secrets & DH may likely know what the money is truly for if he knows his friend well (personality, gambling, sex, drugs) & be not sharing with DW. If sex or another woman or child is involved as well friend has a vested interest in DH lying to OP about the reasons. And he cld leverage info on the DH (past or or sent) to ensure he complies & maintains loyalty to the boys club.

I think OP being advised by the information on this forum is asking questions that DH wasn’t expecting such as the implications of borrowing from the company, bcos it’s not her field of expertise. Did you hear his accountant on loudspeaker say they were no tax implications for eg or is that what DH told you he said?