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Getting out of a sticky situation

So the other day, my dad told my sister he would give her gas money. The next morning, he had a doctors appointment and forgot. my sister borrowed the money from me to fill up gas in her car, saying she would ask my dad to repay me and telling me not to tell dad and that she would take care of it ( previously he told her not to borrow money from me). She hasn't discussed it with him as of a week later, I reminded her today and she said she would do it but threatened that if I remind her, she would tell my dad I tried to buy cigarettes using someone older than me, which is not true and I have never done a drug in my life. But my dad would still believe her. I think she dose not plan on paying me back and is using this as leverage against me.. If I tell my dad that she borrowed money from me, he will get mad at her because she was told not to borrow money from me, and then she will tell him I tried to buy something illegal ( a lie and he would still believe her). I do have leverage on her for doing things she shouldnt be with evidence.

I don't quite know how to go about this situation, will somebody please tell what they would do or give me advice below?

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    • Sounds like one of those life learning lessons, where you just don't win and you learn not to lend your sister money. So seeing as how she knows you won't say anything, she'll ask you again for money. And when she does, you flatly say sorry..no. If she says, that she won't be able to go somewhere..well that's too bad. See what happens when she doesn't think it's important to pay you back and then make threats. She won't owe you anything, because whatever you have leant to her is now her birthday and/or Xmas gift or whatever. If her birthday is coming up or something..just give her a card and tell her the money you gave to her was her gift. Enjoy and be done with it. End and move on. Never loan her money again and don't borrow from her. Your relationship will be that much better.

    • Seconded. Don't deal with her in any way financially from now on. She has proven herself manipulative and untrustworthy. I have to ask though, why did your father tell her not to borrow money from you? Is it because he knows she is liable to do something like this?

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