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M. took a bank loan to buy a car
Content: S18-324.docx 13,64 kB
Product description
M. took a bank loan to buy a car. His guarantors were his wife and brother.
A few months after buying a car, M. died. The bank demanded the payment of a loan from his brother as a guarantor, but he refused to pay. He explained his refusal as follows. The guarantee agreement was signed, as the bank demanded two guarantors, and the brother and his wife insisted that this was just a formality, and promised to repay the loan themselves under any circumstances. In addition, his brother’s wife is the same guarantor as he, she inherits a car purchased on credit and, from his point of view, she must repay her husband’s obligation to the bank.
Should brother M. pay the loan? Justify the answer.
Additional information
After payment you will be available a link to the solution of this problem in the file of MS Word. It should be noted that the problem solutions put up for sale were successfully handed over in the period 2003-2018 and could be outdated. However, the general algorithm will always remain true.
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