blonde poker forum

Let's say you borrow $1000 from another Brit in Vegas.

You don't see him for 6 months and in the meantime the exchange rate has moved massively meaning the $1000 you borrowed is now worth £600 instead of £800.

How much do you think you owe the guy?

The rate today, the rate when you borrowed the money or the higher amount (whichever it is)?

I'd say the rate when you borrowed the money

This must be the right way to look at it I think

Depends on whether your the borrower or lender  ;whistle;

Is it not fair that it should be at the original rate as that is what it cost the lender.

Why not just repay it in the same currency borrowed?

This

Just grim them, in either currency.

this resolves it

TBH, 'rate when you borrowed' seems most fair from both sides as you're giving back exactly what was loaned.  If they had to pay £800 for it then, can't see them being too happy receiving £600 now.  The borrower shouldn't penalise the lender in any event...especially if you'd like the option in future.

I'm for this as welll - also if someone wants to pay you back in £, it should be enough for you to go to travelex etc and buy that amount in $.

I'd say either current rate or just pay them in $.

eg, say you borrowed a PS3 from your friend so you can play FFXIII when it comes out. PS3 at that time is currently worth £250. FFXIII is released and you play it and enjoy it but friend wants his PS3 back. The PS3 has since had a price drop to £200. You can either give back exactly what you borrowed (the PS3) or its current value (£200, with which he can buy a new one). Asking for £250 instead is unreasonable and you would never give him this.

So those saying payback at todays rate would you pay say £1000 instead of the £800 if the exchange rate had moved in the other direction ?.

£800

   if i lent some one $1000 i would want $1000 back

obv just pay at current rate, your borrowed $1k so you pay back $1k

Yes. You borrowed $1000 and that is now what $1000 is worth.

£800

If I borrowed money from someone I would not want them to lose out on the deal, therefore I would pay them the £800, however if I had lent the money I would probably split the diff & agree on £700

What if it was agreed that you would get the money back in pounds. Afterall what use are $ if your nolonger in that the USA.

Then you would agree at current rate.

I would say that if the agreement was that you would be settling the loan in ££ then it should be at the rate when the loan was made, otherwise it can be settled in $$

this

ermmm some people go back to the USA, also there are lots of poker sites that work in $

ermmm some people don't go back to the USA or might not want the money back via a poker site.

Again I ask those saying payback should be at todays rate would you pay say £1000 instead of the £800 if the exchange rate had moved in the other direction ?.

Seems like some people don't mind seeing someone who has done them a favour being out of pocket as long as it saves them a few quid.

I'd sort out what I was repaying at the time of the loan.

I agree but that wasn't the OP question.

If your borrowed $1k then you pay back $1k, if they say can i have it in £ please then naturally you would convert the $1k to £ for them and pay them that. What the rate was months before is not at all relevant.

This happened to me fwiw, borrowed $10k of someone, they then asked for a £ payment a few months later i said yep np and told them i was sending £x,xxx in pounds to bank account, they then piped up and said "yeah but it was worth more when i lent it to you" which obviously wound me up as they never would have said if it was the other way. As it happens the rate was nearly exactly the same as the day i had borrowed it, nice angle shooting sir.

Anyway the point is like the PS3 analogy, you borrowed something, you give it back after, if it depreciates in the time that's just tough luck.

And if it appreciates then you would pay the extra ?

you wouldn't be paying extra, you're paying back what you borrowed

If I borrowed money I wouldn't want the other person to lose out so I'd make sure that whatever happened it would be in their favour.

If they asked for $1000 back I would get it out of the bank and give them exactly that. If they wanted it in sterling they could have it at the rate they paid or the rate it was worth today.

They were the one doing me the favour by lending me the money so if there's anything to be gained it should be towards them.

I agree

Definitely, unless they were going to keep the $1,000 in their safe until their next holiday, you should repay them what it cost them in £ to lend you the original $1,000.

Should be the higher £ value of the two amounts, whichever that happens to be - the lender shouldn't be able to lose out. Money's not like a PS3 - you can't put a PS3 in a bank account/stock market etc. Things basically always depreciate in value while money always has the potential for appreciation, depending on what you do with it - and you don't know what the lender was going to do with it - so the lender's already doing you a favour by lending interest-free.

So your looking to employ a system that means you take advantage of a saving but not employ that same system if it means you have a liability.

Fact is people will use the downturn to justify saving them money and sod the person losing money who has done them a favour.

So I borrow money from you but will only pay it back until when the exchange rate is in my favour. This means you lose out as it cost you more. Fair ????

let's say you borrowed dollars from a spaniard and then the pound strengthened a lot against the dollar
and the euro while the euro strengthened slightly against the dollar

are you going to pay him back in

a) pounds
b) euro
c) dollar

quite how you get that from what I've written I have no idea

I'd pay back in dollars regardless of what's happened to the exchange rate

What if the original loan had been in pesetas ???

pay him in guineas

when you take the $1k agree how it will be paid back, write up a contract and make sure you get witnesses to sign it, maybe get a lawyer in to make sure everything is above board.

Argh this is all tilting me.

At the end of the day you borrowed $1000. Assuming the loan is interest free and nothing else funky has been agreed then you owe him back $1000. So if he asks for it just say "is $ fine?". If not then he can have it in any currency of his choice, and you'll go and exchange the $1000 for him, which is obviously in today's rate.

It's a risk you both take if you're lending money in a foreign currency, no matter who benefits.

I neither borrow or loan money but if I did I would clearly set out the terms at the beginning.
If the terms were not set out at the time and then the lender is willing to exceptt the money in $ then fine but as for this thread this wasn't stated as an option, it's about what exchange rate should be used, the one at the time the money was leant or the current favourable one.
I would ensure that the person who had done me a favour would not suffer any financial loss.  

Whilst in Zimbabwe a couple of years back I was kind enough to lend a guy $1 in their local currency.

Poor fella now owes me $320 billion.

as they no longer have their own currency and now use the us$ I'm sure he'll be delighted to give you a cheque for z$320billion as it's worth exactly 1usd less than he borrowed from you

If I use today's rate then they don't suffer any financial loss. Nor do I.

If I use the rate when borrowed then they gain money, and I lose money. Or if the rate had improved then they lose money and I gain money.

At the start I borrow $1000.

If I use today's exchange rate I pay them back £600 = $1000.

If I use the rate when borrowed then I pay them back £800 = >~$1330. They've gained $330, and I've just been hit with a daft amount of interest.

What does £ have to do with anything? You didn't borrow £800, you borrowed $1000.

The money they lent you cost them £800. You pay them back £600. They lose £200 on the transaction. Simple. But who cares if they lose out doing you a favour, as long as you save a couple of hundred.

this is obviously the important point in this discussion. if someone went to a cashpoint and withdrew money from from their uk a/c using a us atm purely to lend me the cash then I would agree that I'm effectively borrowing £££ and they should be repaid in £££ later on

if however I'm borrowing from their huge wad of $$$ that they've won on the craps table then I'm borrowing $$$ unless we otherwise agree

What about if it was a quarter of a split pot that wasnt noticed at the time, but by the time it was the $3 your mate now owed was worth £1.90 not £2.00

I dont think you would be very happy Charles!

I dont know how this has reached four pages.

I do this all the time and no one ever questions it.

Whilst away if they pay me back I will accept the same in the currency lent.
When back they owe me exactly what it cost me to get it.

If both of you usually use GBP then you owe him what it cost him in GBP.

This is fine if they had no intention of converting the $'s back to £'s. If they would've changed those $'s back when they got home then you have cost them £200. If like Gatso says they have a big wad of $'s in cash that they weren't going to change back but instead were keeping for their next trip then there's no problem at all.

How would OP feel if they had deposited $1000 into a poker room at a cost of £800 and then been told some months later that despite their having increased their roll to $1500 they were only getting £900 back because the exchange rate had moved?

If you're going to treat it as a £ loan then that's fine. You need to say at the time though that you're lending £800 (which just so happens to be $1000). Gatso's example of using a cash machine to get the money fits this.

If you've just lent it as $ though with no mention of converting it back into £ then it needs to be paid back at the $ value, meaning one of you is gonna have to get hit by the exchange rate changes, whichever way they go.

But good luck borrowing money again if it happens to be the lender who gets "hit".

How many camels would he get for that?

I have spent a lot of time in the Uk recently and a friend of mine has been spending time in the US.

We have been borrowing money back and forth from each other to save on exchange rates and on commissions.

At times the amount borrowed has become a large amount.

We agreed an exchange rate at the beginning and all monies were to be exchanged at this rate.

If we hadnt agreed a rate then i would expect to pay back or recieve back at the exchange rate of the day of return

Just lol at this thread, these must be the same people who go through the itemised bill at dinner to work out who owes what.

as others have stated, the money they lent was not £800, it was $1000, so you pay them back $1000. if they want that in £ thats fine, but its still $1000 i owe so it would be the equivalent.

tbh don't think anyone saying the same thing is doing this to 'save a couple hundred'

lol flipping/credit card roulette is the only way to go obv

"But I didn't have any of the table wine so why am I paying for a share of that?"

Anybody fancy leading me a few thousand, I'm not fussy what currency. I will pay you back as soon as the currency rates are in my favour, apologises if anybody loses out as a result.

Cheers in advance for the flood of pm's offering me the money.

I said I wanted it back in the currency if I was there or what it cost me, if I get home.

I never said I remembered how much it was so I could check what had happened!

everybody loves a bit of sarcasm but this is twisting the situation into something its not. like i said before, nobody here is trying to get one over on someone they borrowed money from.

Thankfully i don't have mates like that, people who would do that don't last long in my friends circle.

However if they did and i lent them $3k when its 1.75 and 3 years later its 2.0 and they pay me back i wouldn't care as i lent 3k and got 3k back. It makes 0 difference to me.

Reason for thread: I've been asked to mediate between two friends who this has happened to, and the money involved is huge.

Both are totally convinced they are in the right and I don't think they are particularly fussed about the money, it's the principle involved which is aggrivating them. In fact it's threatening their friendship because they are both so sure the other is wrong.

save the friendship get the guy who owes the money to get the money in dollars and pay the guy back that way and tell the guy recieving he has what was lent and he can wait for exchange rates to shift if he wants

That.

So if the guy wants the sterling equivalent he can't have the money now he's got to wait for the rates to change? You could go backwards and forwards forever with this arguement.

Bit of a tough spot if there's lots of money involved.

Tbh if they really want to save their friendship they should do this through an independant mediator and agree beforehand that whatever he says goes and it will be forgotten. Involving another friend isn't going to help because whoever the friends disagrees with will probably fall out with him as well.

Independant opinion ftw.

I really can't see how this is hard for people to grasp, you borrow $10k you pay back $10k....

It obv isn't that easy.

One guy thinks he's lending in ££, the other thinks he is borrowing in $$.

Obviously they should have decided at the time of the loan wether the loan was in dollars or sterling, but they didn't and that's why the dispute has arisen.

I'm leaning towards to side of the lender, don't see why he should suffer a loss when he's doing a favour to the borrower.

Altho' tbh I wish I hadn't been asked to mediate.

Split the difference if everybody is being ghay about it?

Whatever happens you'll get one unhappy camper and one happy camper.

Unless you split the difference, then you have two unhappy campers.

You could split the difference and see which one looked happiest.

He obviously thinks he got a good deal so you then take his share off him and give it to the other guy.

Flip for the difference.

I'd probs come down on the side of the borrower.

If $$$ were handed over and he didn't specify then that the loan was in £££ then you've got to assume the loan is in $$$if that's what physically changed hands.

I'm on the side of the lender tbh.

He's done the borrower a favour by the sound of it and has a legitimate claim for what he thought he was lending. If you are confident the lender isn't angle shooting then it's a misunderstanding in the lender's favour imo.

If I borrowed $50,000 dollars which at the time is worth £25,000 and then I go to pay it back when it's worth £32,000, I am not going to argue that it's unfair and that I should only have to pay £25,000 worth.

Currency borrowed is currency returned, in my opinion. Fluctuations go both ways. Unless you specifically made it clear before you lent them the money, then you have to just deal with it. That's all part and parcel of helping out a friend, anyway, I'd have said.

Well I know who I wont be lending money to at the Blonde Bash in Venezuela next year..........

I have a couple of nit friends who always do this, drives me nuts. We went out for a pizza recently and basically got a 2 for 1 offer on the pizzas, I had my usual full works jobbie and one of my friends had the most expensive one he could have without having to pay extra for it. The pizza came and he didn't like it, I'm what the fk? Why didn't you just order the one you wanted and know you liked. He wasn't thinking like that, he just wanted to get as much as possible for his money as the 2nd pizza was free. Tight twat.............

A guy I know always does that, except when he's calculated that splitting the bill would be cheaper for him and then he opts to do that.  ;frustrated;

Hope you ate his pizza too?

used to work with a bloke like that. When we went out for team meals he would check first that we were splitting evenly, then order the most expensive meal and bottle of wine on the menu.  Inidentally one night after a bottle of said expensive wine he started randomly asking people for tips on how he could go about losing his virginity.

tbf we just call this increasing your flip equity, order the best shit then hope you don't lose the flip....

yeah there is that, but he'd only do it after trying first to persuade everyone to split the bill individually, in which case he'd stick to the cheap stuff and water.  Not as if he didn't have a lot of spare cash - still lived with him mum, obv.

Tikay must be loving this thread.

Channing and who else?

lol

Also,

[  ] the principle

[ x ] the money

If they were that bothered they'd have cared enough to stipulate at the time as it is pay the same as you borrowed in that currency if the dollar went down you'd have paid more so seems fair to me

They sure are friends