subject: What you need to know about Personal Loans [print this page] If this situation arises, be sure to think carefully and consider some things first before jumping in. If you want to protect the relationship, be sure to ask yourself and your friend lots of questions. The first thing to ask if you are the lender is whether or not you actually have this money to lend. If it will put a extreme strain on you financially, chances are it will put a strain on your relationship, more so than if the money was easy to give. If you are the borrower, ask yourself if your friend can afford to lend you the money. If you know that it will be a difficult thing, maybe it would be best to ask someone else. If you are considering loaning them money, ask your friend or relative what the money is for. Make sure it is something you can agree to spending money on. Do not tell yourself that it is none of your business. It is your money you deserve to know what it is going towards. This way there are no surprises, such as your granddaughter borrowing $500, only to find out it went towards a giant spider tattoo on her back. If you are borrowing, be prepared to answer this question without hesitation. Borrowing money can be tricky, but with honest intentions and open communication, it can be a good experience.
