My wife made a personal loan to a co-worker in the amount of $400 to help prevent her from being evicted. The co-worker signed a document which reflected the total of loan, the amount and dates for the repayment ($50 each bi-weekly payday). She missed the first payment with a sob story and we are approaching the due date of the second payment. This loan was made by my wife who is soft hearted, but I am a realist and missing the first payment is not a good sign. How soon can or should we file a claim in small claims court if she misses the second payment. Any assistance or guidance is much appreciated since this is our first time having to deal with this.
Depending on the terms of your contract (for example, if there is a grace period to make payments after the due date) you would be able to file a breach of contract action with the relevant Magisterial District Judge as soon as the first payment is missed. Good luck.
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I agree with Paul. File a lawsuit the first day you can. Show that you mean business.
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