What do i do when my cousin and I took out a loan we never signed any documentation, and now she backed out of the payments. All I have is statement of her making payments before and it stopped and nothing else, no other proof that she had to help me.

  • 1
    Without documentation, there maybe very less you can do apart from trying to convince her to pay up.
    – Dheer
    Commented Dec 8, 2017 at 11:24
  • 4
    Are you the only name on the loan paperwork?
    – Ben Miller
    Commented Dec 8, 2017 at 11:59
  • 1
    "my cousin and I took out a loan we never signed any documentation" Please clarify. Did you take out a loan, or did you loan money?
    – RonJohn
    Commented Dec 8, 2017 at 14:04
  • 3
    What country is this in? Verbal contracts are enforceable in the US, but are difficult to prove. You might be able to get a judgment against her.
    – D Stanley
    Commented Dec 8, 2017 at 14:30
  • 1
    @NotMe right. But assuming cam lead to bad advice, so I wanted OP to clarify.
    – RonJohn
    Commented Dec 8, 2017 at 15:29

1 Answer 1


If you took out the loan on her behalf (all the paperwork is in your name), then ultimately it's your responsibility to make sure the payments to the bank/FCU/whatever are made. Beyond that, figuring out how to reconcile payments from your cousin is between you and her. Depending on where you live, there may or may not be some type of legal ramifications.

This is why it's generally recommended that if you're going to "loan" money to someone, you either need paperwork between you and them, or should consider it a "gift" in your head when making sure you're ok loaning them the money. There's generally a reason they can't get the loans directly, and you should take that into account as well.

  • You would have to specify where you live (country at least, though state/province/etc may likely be required as well), and someone may be able to help with more specific information. If anything can be done, you would probably need to get a lawyer involved, as well.
    – Jason Rush
    Commented Dec 8, 2017 at 17:09
  • I live in South Africa. I took out a loan for me and my family, me and the cousin decided to do this together and we would both then pay half half each month on repayments, and since I moved out of their house she no longer feels the need to help.
    – Lleland
    Commented Dec 11, 2017 at 5:54

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