August 15, 2013
My friend Pedro is in need of capital money to continue his failed business. He provided me all the details how it will work and he needs P20,000 to restart. As a friend I was eager to help. The only option that time was to borrow money from another friend Juan who do 5-6 wherein the interest will be 20% of the premium and payable in just 40 days. Pedro agreed to the terms so I talked to Juan about the P20k without telling him that Pedro will be the one using it. Me being a close friend to Juan, did not need to sign anything or provide any collateral. Once I got the cash, so I lend the P20K to Pedro, without any papers to sign nor collateral because I trust him.
Now, 40 days have passed and Pedro only gave me P4,000 pesos, enough to pay the 20% interest only without the capital. Pedro said that he is still workin on the way to return the capital, as of that time it is that only amount he can give. Then a few days later, when it was raining hard, Pedro managed to flew with his family from Manila to Cavite leaving on a few things in his rented apartment. He did not inform me about his plans, he just called me and said that his business did not work. He told me that they will find other means to pay and I have his words.
From that point, I was obliged to pay for the 20% interest every 40 days, still counting on his words that Pedro will show up and pay me back.
Come Febuary, Pedro's wife was able to get a job abroad and send the second and last paymet of P4000 as a payment for the 20% interest. Come March, they then said that they don't have enough income to pay me and giving excuses already. Also asking if they can just return the Principal P20K without the interest.
I then told Pedro that I've been shouldering the interest since the time he left and settling for principal will not work. So starting March, I was devasted to know that I will be forced to pay the Principal amount and my shouldering of the 20% interests for a couple of times will not be reimbursed.
From March to September, I was not able to pay Juan the inherited principal and interests. Juan told me that he will to freeze the interest and just sum it up plus the principal which resulted to an amount P36,000. That's 4 (x 40 days) of 20% interest plus the principal of P20K. Adding the other shoulder payments I made of P12,000 (from Sept 30, 2013 to January 28, 2014), it was a TOTAL of P48,000. That huge amount costed me to honor my word to Juan.
Around 3 months ago, I was able to talked to Pedro on phone and we both agreed for a P40,000 settlement. However, untill now I have not received any amount.
Up to this date, Pedro has been hiding in an unknown address in Silang, Cavite while his wife is still working abroad in Saudi Arabia. They have blocked us in facebook, not answering our calls, not replying on text messages.
Please, help me for all legal remedies that I can follow if there is any. I have faults on the process and don't want to dwell on it. I hope that you can help me find means to get my money back. I hope that this also served as a lesson for others.