Loaning Money To A Family Member Or Close Friend?

[The_DADDY 3,477]

Would you? I did once before and it was a substantial amount. I never saw a penny back so now I absolutely refuse to loan family/friends money and if asked I say 'I won't loan it you but I'll give it you if I can afford to lose it'. 

Since then I've given amounts to various people if the amount asked for is something I won't miss. 

What about you? Do you or would you loan family or a close friend money?

[cressida 1,571]

A long time ago my father wrote in my autograph book 'Neither a borrower or a lender be',  I think it was a quote from Shakespeare's Hamlet - Polonius.

So I don't.

[Axe 836]

Consider it a gift rather than a loan if you give money to a family member or a close friend. 

[Pyrotequila 405]

I would never loan money or agree to be a guarantor for anyone, friend or family.

 

Only lend what you can afford to lose, because there's never any guarantee you'll get it back.

[Arthur Ritus 30]

'lending, spending and giving away you will find employment every day but begging, borrowing and keeping your own are the finest three things to be known'.
 

The thing is the quality of person worth lending money to is the kind of person who wouldn't ask and offering could cause some embarrassment, my excuse any way.

[Al Bundy 1,577]

I have and would again, but I would rather not.

[Prettytom 1,648]

I’ve done it. I lent money to an old and very trusted friend to help him to get a business off the ground. It was a fair sum of money, so we drew up a legal contract, with repayment schedules etc. 

 

Worked well. I got a bit more interest than the bank would have paid. He paid less interest than the bank would have charged.

 

The business was a success too. 
 

It is a risk though, you’ve got to be sure of the person you’re dealing with and also able to cope with any losses.

[Padders 2,874]

I was once in the queue in the works canteen.

In front of me was a colleague paying for his breakfast, and he was a penny short....

He turned to me and said "Lend us a penny"

I did!

The next day I asked him for it back, and he threw a right wobbler.

I've never lent money since, I learnt the hard way.........

[Irene Swaine 1,072]

3 hours ago, The_DADDY said:

Would you? I did once before and it was a substantial amount. I never saw a penny back so now I absolutely refuse to loan family/friends money and if asked I say 'I won't loan it you but I'll give it you if I can afford to lose it'. 

Since then I've given amounts to various people if the amount asked for is something I won't miss. 

What about you? Do you or would you loan family or a close friend money?

Family, yes. Friends, no. That said if I had a friend who was homeless, I'd let them sleep in my conservatory and give them some food.

[crookesey 635]

Speaking for myself I took great advantage of my loving and giving family when I was young. I thank God that I was able to pay them back in kind when they were elderly and needed my help, such is family.

[echo beach 591]

We were helped both practically and financially by both the wife’s parents and mine but always repaid the money aspect. As a result we’ve helped all of our three sons in the same way. Also acted as a guarantor for two of their mortgages. They have always been there to help me practically when I’ve been building at home and I know they’ll always be there as we get older.

Never been in debt except for the mortgage and a small loan for a car which was years ago.

Never had to lend money to friends although possibly did in kind because one member of our table tennis team nearly always made sure he was last to the bar after a match. Yes, most of us have come across such a character!

Then one Christmas Eve he knocked on our door with a turkey which he’d been given and said that they didn’t like turkey and so  would we like it. I played my part as Bob Cratchit ,accepted it gratefully and had a two turkey Christmas that year.

 

echo.

[mafya 250]

Not a loan but I did trust my sister to get a mortgage in her name as I wasn’t able to get one back in 2006 for a house and last year there was about £30k owing on it so I said I want to pay it all off and get it on my name but she decided that I wasn’t having it and then went on  to sell it in January this year for nearly £200k

My 2 brothers refused to give a statement confirming that I was the beneficial owner of the house citing various excuses so we are now enemies.

My fault for trusting her as I should have got a legal agreement drawn up at the time but we were really close back then.

My advice would be that if you did loan money to family or friends then get a legal agreement drawn up.

If it’s a small amount like a couple of hundred pounds and you don’t get it back then look at it as costing you a couple of hundred pound to find out what kind of scumbags they are.