If you want a loan repaying then you can’t decide you’ll only accept cash ?

[Shouldbeeasy]

I was loaned £1000 by a family member. The agreement was to pay it back £250 a month for 4 months. It was transferred to me.

I made the first repayment text to say I’d done it then get a message back that they’ve sent it back and I’m to deliver cash each month to them . They live THREE hours away. This was not agreed and I don’t understand but each time I say no I’m only doing bank transfer they won’t accept it. So now I don’t know what to do and I cant do a 6 hour round trip every month for 4 months !!!

This. She loaned you £1k, it doesn't sound like she's being a dick. Does she live near your parents? If so would there be an option of transferring to them and them giving her the cash?

We have regular times we see each other always the 2 week Easter holidays and a few times over the summer either here or there or at our parents in between , plus lots of contact by phone / message etc at all other times so it’s just a bit unusual

@Shouldbeeasy I'm wondering if she has a lot of debt and if you pay it into her account her bank will just take it towards the debt (say an unauthorised overdraft) so she needs it in cash so she can spend it? Is that a possibility? I think a prepaid card like Revolute should help?

Legally, in the absence of a written agreement stating otherwise, you are required to repay the loan in the same means as given, i.e. if she gave you £1000 cash, you’d repay it in cash; as it was sent by transfer means your legally required to repay it the same way.

I’d state that this is the case and that you’ll repay by monthly transfer, meeting the agreed schedule, unless she would like to confirm in writing that she would prefer a single sum repaid in cash at the end of the 4m period and will be collecting it herself? Family, eh?

I hadn’t heard of revolut I might suggest that

Surely your dsis realises that if you need to borrow money, you don't have it to spend on six hour road-trips - and with a pile of cash no less? Post-covid, many people don't carry much money, if any at all and £250 is a lot to have on you at any one time without feeling slightly vulnerable. On grounds of both cost and personal security, I'd dig my heels in OP. You aren't withholding what you owe; in fact, you are keen to transfer the money through your bank; you aren't the one who is being awkward, for whatever reason.

If you decide to take the whole amount up in four months time, insist on a receipt and don't hand the cash over till you get it. I think I'd have something printed off and ready for dsis to sign so you're covered.

I would be concerned this is some kind of dodgy money/tax avoidance thing going on. I would be extremely concerned about paying back a loan with no proof I had done so. What happens if they accuse you of theft?

I think it's this.

If so, your sister, who was kind enough to help you out of hole, could end up in one as result.

I'm sure you don't want that.

I'm quite surprised at some of the responses here tbh - when someone helps you out, the correct response isn't, "You get it back the way I choose, or you aren't having it at all." Astonishingly entitled!

You were LUCKY she lent it to you. I'd go with the prepaid card, but even if I did end up delivering cash - it's only akin to paying interest on a normal loan.

"If you want a loan repaying then you can't decide to only accept cash" is your title.

Of COURSE she can! She didn't have to loan you anything. The point is, it was a loan, you pay it back.

It will be because they have a debt on their bank account or want to hide the money somehow.

Offer them to come and collect monthly.

It sounds like they helped you out when you needed it. They will have their reasons, may be debt on the account or whatever.
You were happy to take it but you can't put yourself out fir a few months.
Maybe offer to pay £500 x 2 then it would oy be two trips?

Is she overdrawn and not wanting the money to be swallowed by the overdraft?

Can you suggest vouchers of some sort if they don't want money paid into their account? Did they give you cash?

I don't understand why posters are so keen to see everyone in a bad light. The OP hasn't even asked her sister why she wants cash and it might be that the sister assumed that the OP will just use western Union, send the cash in the post or one of the other suggestions in the post.

The sister was kind enough to lend the OP £1000 interest free why now assume she is controlling or whatever. Some posters are so negative.

This is a good idea. Do they have a particular supermarket they use and would they accept a £250 e gift card each month?

Is this person lonely and they thought they might be buying a bit of your time in lieu of interest?

Your are not being unreasonable regardless.

"If you're sending valuables, money or jewellery in the post, you should use Royal Mail Special Delivery Guaranteed®. Money should be packaged securely and shouldn't be visible from the outside. Don't indicate anywhere on the packaging that money is enclosed".

Copied from a Google search.

This

What a weirdo. But can’t you send cash via western union or similar? I’ve done that before. I know they are associated with scams but you can do it legitimately and it works quite well.
If it was my sister I’d ask why she’s being such a dickhead about it and that of course I’m not going to do a six hour round trip every month.

How can it be a benefit dodge if she had it in her bank account to transfer to OP in the first place?

Dsis is presumably not Father Ted, UC wouldn’t believe it had been ‘just resting in her account’.

Dsis had it in her account, it will have already been ‘seen’, paying it back by the same means it went out would make zero difference.

And it’s totally fine to lend or gift family money when on benefits.

So it’s all a bit weird.

Instead of guessing..how about just ask her why she wants the 6 hr round trip every month.

Please pay it in £1 coins.

Almost certainly, they won't want it showing up on their bank account, was it given in cash originally I wonder?

If she’s got a lot of debt she might not be in a position to lend £1k so seems unlikely

@Shouldbeeasy

An interesting legal situation! If you send the money by a valid means and they return it have they accepted that the money/instalment has been paid? ["Probably"].

The difficulty is that if you do actually pay by cash you will need a signed receipt for each instalment to "prove" that payment made [else ...]

There is a sensible suggestion that you send it in cash by Special Delivery [make sure that this is acceptable to Royal Mail] and again insist on a receipt for each