Question about money management?
Friday, January 9th, 2009
Chef asked:
For this scenario’s sake, assume that you can provide your children and the TV store as much money as they need, and you have strong influence on the interest rate of your son’s debt obligations. Also, keep in mind that you also have 20,000 of your own debt and are borrowing money from powerful people in your family.
For this scenario’s sake, assume that you can provide your children and the TV store as much money as they need, and you have strong influence on the interest rate of your son’s debt obligations. Also, keep in mind that you also have 20,000 of your own debt and are borrowing money from powerful people in your family.
Here’s the scenario:
Your 7$ per hour job having, materialistic, rebellious son borrows 600 from your 15$ per hour job, entreprenuerial son. Your troubled son uses that 600 to finance a 1200 TV. So he turned a 600 dollar loan into 1800 dollars of debt plus the interest set by his lending brother, but has a nice TV that his entreprenuerial brother told him will surely increase in value due to it’s special features and size.
My questions is : who do you blame? and, as the daddy of these children, what is your first course of action to solve this problem?
