Intra-familial loan

[Picklee]

WA

I loaned my brother some money for college expenses. I wrote up a promissory note that spelled out terms for repayment and included a 'promise-to-pay' clause. I'm worried that if I had to go to court to recover the money, I wouldn't be able to prove that I actually gave him the money. Is the promissory note sufficient for receipt of the funds (cash)?

 

[racer72]

In most cases, yes.

 

[Picklee]

I should probably add that the note was not notarized. I assume this is an issue that plagues many family loans, but how much of a problem could this be for my note? Could he simply claim that he never signed it? I have proposed to him an addendum that would modify our original terms (altering some wording which I think benefits and safeguards both of us), if I have him sign the addendum in the presence of a notary, does this strengthen the credibility of the whole note? I suspect that if he submits to signing the addendum which is quite obviously modifying the terms of a prior agreement, then he wouldn't be able to go back and say 'it wasn't me that signed the original agreement'. Thoughts?