Real Answers for Life’s Money Challenges
My sister owes me $625.
She owed me $825, but she only paid me $200 via Cash App.
That was three months ago.
Here arethe biggest money secretsthat can help you stop wasting precious funds and get your finances back on track.
She hasnt answered my texts, nor has she returned any of my calls.
Can I sue her?
-Still Waiting
Dear Waiting,
Sure, you could sue your sister.
But think carefully about how much time and energy youre willing to spend recouping $625.
Small claims courts make it pretty easy to sue someone for relatively minor amounts without hiring an attorney.
Theres a small fee, typically less than $100.
Limits vary by state, but they range anywhere from $2,500 to $25,000.
Many defendants dont bother showing up for the hearing, which means they automatically lose.
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But getting a judgment and actually collecting on it are two different things.
And a lot of people will tell you that the latter is the much greater challenge with small claims.
To decide whether this is worth pursuing, consider your sisters financial situation.
What are the odds that she has any money left of the inheritance?
But if the account is empty, theres nothing to collect.
An easier option after winning in court is typically to garnish the persons wages.
you’re able to collect up to 25% until theyve paid off their debt.
But in order for you to do this, your sister needs to have a job.
No Interest Til Almost 2027?
Try sending her a demand letter via certified mail.
you’re free to find free templates on legal websites like LawDepot and UpCounsel.
A few days after youve sent the letter, follow up with your sister.
Stay calm in any communications you have, but do be firm.
A lot of people dont repay family members because they dont really believe theyll sue them over it.
Perhaps showing your sister that youre serious will spur some action.
One thing to weigh is your relationship with your sister.
I get it: Your relationship is currently nonexistent, and your sister is the one responsible for that.
But also think about whether youre holding out any hope of salvaging things.
If the answer is yes, Id vote for keeping things out of court.
No matter what you decide, consider this an expensive lesson.
Offering short-term help can have long-lasting damage to relationships.
Only lend money to a loved one if youre OK with never getting it back.
Did you know?
Send your tricky money questions to[email protected].
Probably not as good as youd like.
It always seems like an uphill battle to build (and keep) a decent amount in savings.
But what if your car breaks down, or you have a sudden medical bill?
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