Should You Accept a Car Loan from Your In-laws?

Unless you have the money to buy a car outright, you will have to take out a car loan to finance your dream of buying a brand new car. There are many options available such as making use of an existing home equity loan or taking out a bank loan through your local branch. Interest rates will vary, which can influence the type of car you end up buying. With so much to consider when taking out a car loan, would it be wise to accept a car loan from your in-laws? While you may have no qualms about borrowing money from your own parents, you must consider how you feel about borrowing money from your spouse's family. There is a lot involved in accepting a car loan from in-laws than from your own family or from a lending institute.

Relationship

Before you agree to accept a car loan from your in-laws, think about the type of relationship you have with them. Do you get along well? Are your in-laws genuinely trying to help you or do they expect something in return? If you have a strained relationship with your in-laws then you may find that accepting a car loan from them will only make your relationship worse.

Hold Over You

It does not matter whether your in-laws treat you as one of their own or if they dislike you; the point is that once you accept a loan from your in-laws they will have a financial hold over you. They will undoubtedly be entitled to repayment, but it may go further than that. They might believe that lending you money has given them power over you to interfere in your marriage, advise you on how you raise your children and other important aspects of your life.

Repayment