Does my lender owe me a duty of care?

UPDATED: Oct 1, 2022

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Does my lender owe me a duty of care?

I took a short term loan form a micro-finance bank. It has a 30 day maturity. I have taken the loan severl times and this last time I didn’t remember that I hadn’t paid. Infact I didn’t need the loan anymore. 6 months down the line, I get a call from receovery and I am told that I owe them nearly 3 times what I borrowed

Shouldn’t they have sent me a reminder the moment the loan matured? Don’t they owe me a duty of care? Why wait till 6 months later? Do I have any rights here?

Asked on December 18, 2017 under Business Law, Virginia


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

No, your lender does not owe you a duty of care and, conversely, you do not owe them any duty of care, either. In a contractual relationship like this (the loan is a contract), the parties cannot act in "bad faith" towards each other, but that does not require providing any affirmative help or reminders; each party is responsible for tracking and fulfiling its own obligations without help from the other.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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