6 ms·

Alternatively, get a consumer loan from a bank and pay off your creditors. Pay the bank back over time.

jotto 16y ago
http://www.prosper.com/ http://www.prosper.com/ for those that dont know, it's basically peer to peer lending. investors decide how much risk they want to take on, and prosper auto allocates it among people requesting loans. you'll probably get better rate from prosper than a bank.
- tghw 16y ago
  Prosper is good, but I think the application and bidding process will be pushing the 12 day mark.
debtscrewed 16y ago
That is a good idea, but my credit sucks so it might not be the best option to go with. Though it would help my credit tremendously, huh?
- bond 16y ago
  You need to try it or you'll never know for sure...
- Kaizyn 16y ago
  Go to a local credit union instead of a big bank. You can probably also use your car or other assets as loan collateral. I'm sorry to hear you're going through this. The best of luck to you.
- tptacek 16y ago
  You do not need to try it. It will not help your credit to take on more debt. It is a very bad idea to take out a personal loan to pay back a company debt. Why everyone on this thread isn't yelling this at you in all-caps is a mystery to me.
  - netcan 16y ago
    You have the tone of trying to keep the house from collapsing until the parents get home.
jacquesm 16y ago
I don't think it's a good idea to start to take on personal debt for a limited company, that might open a huge can of worms. Best to not mix private and business when a company is already going down the tubes.
- damoncali 16y ago
  Except that your personal credit is linked to your business credit. Just because they can't come after you for the money doesn't mean that you'll be able to get a business loan, lease, etc in the future.
  - jacquesm 16y ago
    He's a minority shareholder.
    - damoncali 16y ago
      if his name is on the paperwork, it doesn't matter.
      - jacquesm 16y ago
        You are basically saying that there is no reason to incorporate, and that simply isn't true. Your name can be on the paperwork, your company can be in debt, it can even go bankrupt, as long as you did not do something called 'mismanagment' or 'fraud' you should be good. Being a minority shareholder implies that even if you had wanted you could not have stopped it from going the way it did, unless you happen to be a signing officer of the company able to act on his own, but that does not detract from the above. Puncturing the corporate veil to go after the private assets or credit status of an officer of the company is a very high threshold to meet, in the case of 'peanuts' debts like the one we are talking about here nobody in their right mind is even going to try. On top of that, he would have to be an officer of the company that has put up a personal guarantee for any of the debt to rub off, if you do that you're silly and I assume that since there is a corporate lawyer involved here and that the company is a Delaware corporation that he's well protected from that angle.

jotto 16y ago

http://www.prosper.com/ http://www.prosper.com/ for those that dont know, it's basically peer to peer lending. investors decide how much risk they want to take on, and prosper auto allocates it among people requesting loans. you'll probably get better rate from prosper than a bank.

tghw 16y ago
Prosper is good, but I think the application and bidding process will be pushing the 12 day mark.

debtscrewed 16y ago

That is a good idea, but my credit sucks so it might not be the best option to go with. Though it would help my credit tremendously, huh?

bond 16y ago
You need to try it or you'll never know for sure...
Kaizyn 16y ago
Go to a local credit union instead of a big bank. You can probably also use your car or other assets as loan collateral. I'm sorry to hear you're going through this. The best of luck to you.
tptacek 16y ago
You do not need to try it. It will not help your credit to take on more debt. It is a very bad idea to take out a personal loan to pay back a company debt. Why everyone on this thread isn't yelling this at you in all-caps is a mystery to me.
- netcan 16y ago
  You have the tone of trying to keep the house from collapsing until the parents get home.

jacquesm 16y ago

I don't think it's a good idea to start to take on personal debt for a limited company, that might open a huge can of worms. Best to not mix private and business when a company is already going down the tubes.

damoncali 16y ago
Except that your personal credit is linked to your business credit. Just because they can't come after you for the money doesn't mean that you'll be able to get a business loan, lease, etc in the future.
- jacquesm 16y ago
  He's a minority shareholder.
  - damoncali 16y ago
    if his name is on the paperwork, it doesn't matter.
    - jacquesm 16y ago
      You are basically saying that there is no reason to incorporate, and that simply isn't true. Your name can be on the paperwork, your company can be in debt, it can even go bankrupt, as long as you did not do something called 'mismanagment' or 'fraud' you should be good. Being a minority shareholder implies that even if you had wanted you could not have stopped it from going the way it did, unless you happen to be a signing officer of the company able to act on his own, but that does not detract from the above. Puncturing the corporate veil to go after the private assets or credit status of an officer of the company is a very high threshold to meet, in the case of 'peanuts' debts like the one we are talking about here nobody in their right mind is even going to try. On top of that, he would have to be an officer of the company that has put up a personal guarantee for any of the debt to rub off, if you do that you're silly and I assume that since there is a corporate lawyer involved here and that the company is a Delaware corporation that he's well protected from that angle.