Love is a very beautiful and strong emotion. Lucky are the ones who find someone to shower their affection on. There is no better feeling than to be able to release all your stress in the arms of your partner.
But isn’t money important too? The heart needs love, but survival needs money. You cannot go on without either of them, and absence of one becomes a source of depression.
How do you decide then? What do you do when your partner asks for money?
Let us say that your girlfriend is going through a financial crunch. She has refused to take money from you and banks/direct lenders would not approve her loan due to her bad credit score. You think about a middle way. You offer to take a personal loan on her behalf, so that she can make the repayments through you. She seems to like this idea too.
But wait! Are you sure you have thought this through? Before you sign the loan agreement, just weigh the various aspects as to whether it is ok in all senses to be the middle man or not.
Your Responsibility of Being There
You have certain responsibility towards her. Being in a relationship entails taking care of each other, and sticking through the thick and thin. You know you can rely on her when you need help. This makes you obligated to be her shoulder.
The love you have for her obviously pushes you towards helping her in the best way you can. You even would go out of your limits to ensure her happiness. Therefore it is morally right to take the loan on her behalf.
Imagine a situation where the repayment of the loan is due, and you have to ask her to give the money. Don’t you think that would be a pretty awkward conversation between you two?
While you are supposed to help her, you also have to keep your relationship from going amiss. Money matters have been known to sour even the strongest relationships. You would not want to make things bad between you two over money issues.
It would be a wonderful feeling for the both of when you take a step forward to help her. You would be proud of yourself for having taken the responsibility in her troubles times, and she would admire your efforts for helping her.
Taking charge of the situation also makes you liable for the consequences. It is in fact a wonderful feeling to be liable for things in your life. It adds a sense of self independence and confidence in you when you have someone or something to take care of.
What happens if she is unable to pay? Or worse, what happens if you separate for unavoidable reasons?
The entire liability of repayment would fall on you. It would become solely your burden to clear the debt. The lender would be after you if payment schedule is not met. You would be the answerable authority for missed repayments or any unclear dues.
The bargain can be high in this case. While the present would be really beautiful, the future consequences must also be kept in mind while taking monetary decisions.
Affect on Credit Score
This can be an indirect way for you to build your credit score.
Making timely repayments and clearing the loan debt increases your credit score. When she makes it a point to pay the scheduled amount on time for your unsecured loan, your credit history improves. Punctuality and regularity in debt repayment are big positive triggers for a credit report.
But what happens when it goes the other way? What if only you are the responsible one in your relationship?
A credit score is depleted more easily than it is built. For every repayment that you delay, you decrease your credit rating. It also incurs additional charges and added interest.
Your credit history does not remain so fine when there are mentions of late payments and penalty charges.
Mixing Love and Money
It all boils down to choosing between heart and mind. Practical life is mostly different from fairy tales.
You are lucky to have fallen in love. As Rachel said, “It is not that common, it does not happen to every guy, and it is a big deal!”.
On the other hand, you earn money by working really hard. Your credit score is built over the years by responsible repayments.
It is for you to choose what is more important, and whether you really wish to go down the path of mixing love and money.