We have a cousin that has taken advantage of our father (80) by getting him to write her checks saying she would pay him back.

Yes. You go to court and obtain a judgment against them. You do this to protect your father in the event he needs Medicaid. If you don't pursue the debt, Medicaid will consider it a gift.

Following up on Pam's advice, contact a lawyer who focuses on contract law, or transactional law. Failure to pay is a breach of contract; one of the requests in the initial pleadings would be for a court order of "specific performance," i.e., pay the money.

One thing to consider in getting a judgment (which likely would include interest at the "money rate" of your state) is whether or not your niece has any assets that could be seized. If she's "judgment proof", i.e., no car, no house, no money, nothing of value, then the judgment would just be filed but there would literally be no way to collect until she goes back to work.

However, since her husband signed as well, he may have assets that are recoverable through collection. If he's working, his wages could be garnished pursuant to an judgment entered by a court.

You might also consider getting an injunction against her so that she can't visit your father and ask for more money. Payments pursuant to any judgment could just be mailed.

If you have the niece's SS number, you might be able to file with the three credit bureaus a notice of the existence of the debt. It would affect her credit rating, though, so you'll have to weigh the benefits of doing this, specifically, whether she's a mooch or whether she might be forced to pay.

Judgments are considered assets; I don't know whether Medicaid would consider that factor if he ever needed to apply.

Wouldn't it be great if all our debts could be back-burnered because we aren't working? "Hey Wells Fargo, you don't mind if I stop making house payments, do you? I'm not working right now". Do as Pamstegma advised and protect your father from being denied Medicaid and also future sharks. This situation is why my beloved, wise father always said "Never lend money to friends or relatives. Give it as a gift if you really want to do it and can afford it - but never lend it".

Forgot to mention another aspect. If a Judgment is entered, and the niece and/or husband have physical assets, the attorney who handles the case could move to "execute" on the judgment. This would mean that the assets could be seized.

If they own a home, a lien would be filed against the home. If they own vehicles, those vehicles could be seized. I'm not current on these laws though, so I don't know if one vehicle would be left so that they could transportation to work. Execution laws can be very, very draconian.

This is something you'd have to think about, whether or not you'd want to take this drastic step, if a judgment was entered and the niece and/or husband refused to pay.

I once worked for an attorney who did execute on a judgment. He went for everything. I have some vague recollection of the very angry and upset debtor calling when the sheriff came to seize the assets.

It's an unsettling event; I wouldn't want to ever again see anyone experience having their possessions confiscated. I couldn't help thinking of old England and the debtors' prisons.

Keep in mind that these borrowers have the option of declaring bankruptcy and having the debt discharged if you get a judgement in court. If the amount is large enough and they have other debts as well, they may find it cheaper to just pay a lawyer and file bankruptcy Then your father would get nothing and he would have paid lawyer fees and court costs. You may come out better in the long run by negotiating small payments.

Does Dad have dementia or memory issues? If so, better to keep the check book in your possession. Mother once wrote a check to the hairdresser for $800. instead of $80.! Thankfully the stylist was honest and returned it. Then Mom wanted to send the president money to help the country! Oh Lord, that's when I "stole" all the checks and credit cards. I had her put me on her bank account and I started paying for everything. They mean well but have to be monitored. Definitely contact a lawyer, maybe one specializing in elder law. Tell your cousin to keep making "token" payments, so they keep in the mindset of needing to pay. Anybody can afford $25./month or wk.

You can try a court TV show. Some of them pay the debt for cousin.
Judge Judy does. The others pay but not sure how much. AI you live in Calif
You can sue up to 10,000
.Other states vary.

RainMom--your dad was wise! we have followed this advice with our own kids. We gift them money, as needed, usually the same amount to all 5 at the same time. They VERY few times we have seen a need and wanted to help, it was done as a "gift"--no assumption of repayment and no desire to have it repaid.

This posters situation--this is plain out theft, yes, get the legal team on your side. A court ordered payment is fairly easily obtained. Whether the family decides or chooses to make even token payments on that debt it up to them. The legal system is very slow--but they will be caught, eventually. Maybe just the knowledge that you went "legal" on them will be enough.

And yes, it sounds like Mom needs another responsible person signing on the checkbook---but my mom got around that by withdrawing fairly large sums of cash she could slip to my brother. You kind of have to keep an eagle on aging parents, sometimes.

I agree Midkid, we never lend money of any kind, to friends or extended family. My BIL & SIL, have both approached my FIL, who lives with us, for large sums of money, and the answer is No! He needs that money for his own care down the road, which is probably one of the reasons why he wantedbto live with us, as he knew those vultures would be after him until his money was all gone. My BIL even tried to get him to "gift" him his "inheritance" in advance, so much per year, as "this way", the Old Man would be able to see him enjoy his inheritance while he was still alive, the nerve of some people! The've both taken ripped him off of many thousands from him over the years, but we have been able to put a stop to the bleeding!
Have you been able to have a firm conversation with this cousin, force them to see that your Dad will need his money for care in the future. Tell them you will take legal action against them, if the don't pay back what was borrowed, and intend to go forward with it. I would! That is a lot of money, and they are criminals for taking advantage of his good nature! You've received some great advice, and I hope you go through with some, to recover what is rightfully his! Time to take action and a tough stance!

I should have added that my parents "pre-paid" my sister's and brother's "inheritances". It's crazy. My brother basically "stole" it, but then the "theft" (well over $100,000) was forgiven, my sister is terrible with money and found herself over $60,000 in debt...and they paid this all off for her. My DPOA brother told me that "our" (the rest of us sibs) inheritance wouldn't buy a crappy used car. After initially begin angry with the chutzpah displayed by these other 2 sibs, I really don't care. Mother will likely need every cent she has for Long term care...and I don't look to her for an "inheritance" at all. Why do people think that their parents owe them anything?