roblems arise Michael DOLLARS AND SENSE SOMEONE IN the family wants’ to borrow’ money _from you — or you want to borrow from a family member. Assuming you both feel comfortable with the idea ,and amount, _What’ s ‘the next step?” While: a °,verbat . arrangement 7 ‘might .be the easiest,.. you. should ; ‘definitely : put something. down ‘in .writing so there will be’ no.misun-: | derstandings:’..“‘Oh,. I thought - it was a. gift,” or, “fy didn’t. réalize, you: “expected _ regular . monthly _ payments: with interest,” or ‘‘Our “marriage. has. brokén down; my’ ex-spouse’-says.the money you - gave.uS. was a gift and plans to keep half.” -.. Said ‘Peter Brown, of” Peter W. Brown law office, chairperson of the Vancouver family law section, B.C. branch of the- Canadian Bar . Association: You must be businesslike, and treat the arrangement like the fi-. Don't - nancial transaction ‘it is. think, ‘Whatever happened to love and friendship?” “Problems always. arise when you -mix emotion and business. ‘The worst things I hear are, ‘1 “*\. trusted him, or, ‘E didn’t think it would end this way.’ These prob- “lems are caused by false assump- . tions or lack of communication. “Make the terms clear. Be bold -about. it. Sure, courage. And if you are doing the lending . and your adult child thinks, ‘Miserly old foo!,’ then so be it. But if the individual is a “person of character, he or. she should respect your thinking.’’ “You need. to be aware of the various family law aspects. Let’s say you lend money to your adult child but have nothing: in writing. Your . child’s’ marriage \ breaks /@own and the ex-speuse . could _ easily end up with half ‘your. money.’ nn : ‘How To Get The Most . From Your Maturing RSP _ A Special Seminar Featuring Retirement Planning Specialist Bruce Hirtle, C.L.U. Date: Thursday, April 29, 1993 . Tinae:' 1:30 PM Place; Seymour Golf & Country Club, 3723 Mt. Seymour Pkwy, -; _ North Vancouver To Book Your Place, Call: Jennifer at 925-3131 .RBC DOMINION SECURITIES MEMEATLOF ROYAL RANK GUCRP ‘that calls for. “So either make it a gift or make it a loan, and if it’s a loan have something in writing like a promissory note,”’ Brown said.. “Even if you lend money to ’ your son or daughter and secure the loan with a lien on a car or a mortgage on the home, you could have problems. If the marriage breaks up and the spouse didn’t know about or agree to the loan, the spouse could make it difficult for‘you to seize and sell the car or foreclose on the house. A possible first step if you are involved with a family loan-is to go to your financial institution to ask what would be involved if the - joan were taken out from thai in- stitution. Perhaps you can get a copy of the promissory note or - other documentation involved. With that information, you can then decide on your own ar- rangement. At the very least, you should have a promissory note . with the following information: ’ @ amornt of the loan; - @ date(s) and terms of repay-- “ment: For example, < a loan for higher education could require. repayment over 10 years. to start. one year after graduation or after getting a ‘job. but no later than Jan. 1, 1998.. {With a home loan, there could be . regular.monthly payments over 10. or 15 years, or only, on sale of the ‘ home. ‘Extra payments - or . full repay- ment, could.be made. at any time. without penalty. A demand loan wouldn’t ,involve any payments, . but-would the borrower’ be able to pay back the money. when the demand comes? . @ the interest rate. 1@ business For example, you could choose a particular financial institution's one-year (three-year or five-year) closed mortgage rate, or the one-year (or other term) non- redeemable GIC rate. Or the loan could be interest- free for a certain period. @ collateral. The targer the amount, the more likely the lender will want some security beyond a _pro- missory note. © other conditions. Make your hi6ve. There iS more than one way 1 be a chairperson. Get up and stretsh between calls so you won't becoine - part of the furniture! It’s lurking outside the back door. Or in the shadows of the basement. It’s the humming, whirring, clicking, old -. second refrigerator. And it’s robbing you of cold cash ~ an old inefficient second fridge can cost you up to $100 a year to run. WE’ CORE AND GET IT AND GIVE YOU $30!* ‘We can take the problem off your hands. We'll pick up your old operating fridge (10 cu. ft. to 24 cu. ft. size) - free of charge, dispose of it in an environmentally safe manner and send you a cool $30. To register in the Program, call the Refrigerator Buy-Back Hot Line toll-free 1-800-663-CASH (2274). In the Lower Mainland, call 683-CASH (2274). *B.C.Hydro reserves the right to change or cancel the rebate offer at any tiine without prior notice. with Consult a lawyer if a large amount of money is involved or if it is a complicated arrangement. If any of those involved are at a disadvantage because of lack of business or financial knowledge, then each party should get in- emotions Mike Grenby is a North Shore-based columnist and in- dependent financial adviser who works with individuals; he will answer your questions as space allows — write to him.c/o The North. Shore News, 1139 Lons- dependent legal advice. dale, North Vancouver V7M 2H4. LIONS GATE HOSPITAL A Caring Community ‘Advance Notice of | ANNUAL GENERAL MEETING ~ North and West Vancouver Hospital Society Wednesday, June 16, 1993, 7:00 pm. Lions Gate Hospital Auditorium: Support Lions Gate Hospital by joining the North | and West Vancouver Hospital Society: Those wishing to vote at the Annual General Meeting must join the Hospital Society or renew their membership by Friday May 14, 1993, at 5:00 p.m. For further information please call 988-3131, local 4201. NOMINATIONS OF MEMBERS TO THE BOARD OF DIRECTORS North and West Vancouver Hospital Society ' The Annual General Meeting of the North and West Vancouver Hospital Society will be held on | Wednesday, June 16, 1993 at 7:00 p.m. in the Lions Gate Hospital | Auditorium. There are four positions on the Board to be filled by election cn the night of the Annual General Meeting. Three positions will be filied by residents of the North — - Shore municipalities (City of North Vancouver, District « of North Vancouver, District of West Vancouver)... The fourth position is fora Member at Large, who’ must be a resident of one of the above municipalities. or the Rural District of Bowen Island or the Village of Lions Bay. Nominations are to be received by the Secretary of the . Society no later than Wednesday May 19 1993 at 5:00 p.m. Nominees and nominators must be members in good | ‘standing of the Hospital Society. Each nomination ~ must be accompanied by a signed statement from the nominee indicating their willingness to stand for election. Nominees may stand for one pesition only, | and nominations must specify which position is to. be contested. | For further information please contact Robert J. Smith, Secretary of The North and West Vancouver Hospital Society, at 984-5783.