by Jolie  01/08/2015  669 Page Views
4 Comments  Self-managed super funds, superannuation, wealth management
Hi everyone from a first time poster, but long time reader and learner !

Sorry it is a bit long, and most importantly please don't be judgemental, there is a lot more to the story that is relevant to our situation - but not relevant for my question.

My husbands son (my stepson) owes us a combination of debts. Some was straight cash loans, some was paying a bill for him when he had no money, and the big one was the purchase of a car for him (which he later sold at a huge loss less than 1/3 price as he needed money). Bought him a second car, he did the same thing and sold it.

Total costs would be between $5000-$6000 out of our pockets.

At the time most of these loans happened, he was 17, but he has since turned 18. He has promised too many times to pay us back, but nothing has ever arrived.

Quite frankly we are sick of the promises and lies and we want to know where we stand with taking any kind of action to get some money back. We are not well off by any means and don't have much in the way of cash or assets.

You might think it is harsh for parent/step parent to want to take action, and please don't say that's what parents do, but he just weeks ago he got finance on an almost new brand car he is happily showing off, got a huge piles of tattoos done, got a rental with his new girlfriend etc. and is spending money everywhere while running up debts.

Note - he does has a very bad history of spending money, he received a $15000 compo payout when he turned 18 and it was gone within months. He has a large credit card debt, has taken out small loans with places like Wizard, Nimble etc.

So yes I understand that the chances of getting it are remote, but it is not appropriate for him to owe people money, there needs to be some responsibility.

He has lied to us about selling the cars, lied about people stealing his compo money, lied about his new car etc, so there is a history of non-truth.

Any ideas of the first step to take? Should we just write him a formal letter stating the amount etc and give him a payment time? It seems logical to try that in case we need to escalate it further by any legal means, then we would have proof we tried.

Or is there a better option? Yes he will be pretty mad no matter what we do, but he needs to know life is full of accountability and not everything will go his way all the time.

If you can offer a non judgemental comment I would be very appreciative.