What is the best way to handle a situation when a friend asks for money?

Question

I have always learned that you should never lend friends money because it will in most cases destroy the friendship later down the road. Are there any other methods for handling a situation like this.

Answer 1

Hunny, If Is a true friend An you know That friend well, You will no be here asking that question, so my guess is... you don't know that "Friend" Well, so my advised is to tell your friend how you feel about lending money. I have friends that we borrow when we needed from each other, but we never pay back to one another no matter how much is the amount or ask for what is needed for. If I have it ,they will have it, if they have it, I will have it, but If we don't have it, we just tell the truth to each other. But you always need to be Honest and communicate and never lie.

Best

Answer 2

If you are having to ask this question then the answer most certainly has to be NO!!!

I have been stung in the past and if I added up all the money I'm owed I probably wouldn't have to work for the rest of the year. I still lend money to people but have learned the lesson that you should keep a record of how much was Lent and when. Also you must have the guts to ask for it back if they haven't paid you when they said. Never lend money if you are going to leave yourself short for other things. Question what they want the money for and if they are realistically going to be able to afford to pay you back.

Answer 3

Hard question- it depends on the amount and the friend. Basically, never loan money that you cannot affor to lose is a good rule. I have given friends 20 bucks knowing full well that I just moght not see it again. In one case, he paid it back twice, then the third time stiffed me. I could afford the loss, so basically no big deal. If it is large amounts, basically better to politley and gently say you just can't loan that much. I have another friend that has been my buddy since we were 13. There is a standard line we ask each other "Do I owe you any money? Do I owe YOU? For he and I. this has always covered it.

Answer 4

A friend should never ask a friend for money unless there is some sort of dire emergency. Never lend money to a friend...if you choose to help someone financially then think of it as a gift and that will certainly keep your friendship from going south. If you don't care to give such a gift then simply tell your friend..."neither a lender or a borrower be"...meaning I don't lend and I don't borrow. If they get upset then they're more interested in you for finances than for friendship and you might want to find new friends.

Answer 5

Lending or borrowing is never encouraged but in some situation that is very transparent like hospital bills, school fees for the children etc..then the friend could help if it is not a habit of that particular friend.
Also for first timers trying to borrow from you and you are not comfortable, well I will just give a small sum ( like cab fare or a meal) and not expecting it to be return. In this way the person will not approach you again.

Answer 6

I think when you loan money most people have the best of intentions to pay it back to that person. I know alot don't and it may be that even though their intentions were good, well maybe their bank account wasn't. So they may not be the best at handling money or run into some bad luck, hard times etc...so the best rule is this. If you have it and want to loan it go on but, you shouln't count on getting it back to pay your bills with or anything where it may hurt you if you do not get it back or back on time for your own bills.

Answer 7

If your friend asks for money, and you want to help him out, and the amount of money is immaterial (such as say $500), I would just give it to him, but do not expect him to pay you back. Never ask for it, and never judge that person for not paying you back. Think of it as a gift you are giving to that person. If it's more than what you can afford, then don't lend the money. But, if you do want to lend the money, create a contract and have him sign as to the payback details (i.e. $100 month for 5 months). That way you can sue if he doesn't pay back.

All in all, if your friend needs money, there's usually an alternative. Offer to let him stay at your place for a month or two, offer rides to job interviews, help get him a job. Or have him blow you

Answer 8

This is an interesting question and one that I've asked myself many times. Each time the situation arises, I first question my friendship with the person asking for money. I reason to myself, if this person is really my friend, why would he be asking me for money? Money & friendship are almost like oil and water. If the person asking for money is really a good friend, he/she would *never* put you in the ackward position of having to say No. Of course, there are extreme cases (like life or death) that would supercede this thinking, but if the money being lent is used to pay off gambling or credit card debt, fugget-about-it.

Answer 9

I have a friend that would always borrow from me. She would " forget " to bring her money when we go out to eat and so on. I had to stop her one day and tell her that I can't support her anymore. I told her I still love her and I am not mad but I too many bills to be paying hers. I said all that to say don't lend money to them. If you have to make a excuss why you can't. If you decied to help them out, just give them the money because the hardest thing in the world to do is getting money back from friends.

Answer 10

If you have the money and you decide to lend friend money, don't expect it back...coz as you put it, it will destroy the friendship down the road.

If you don't feel comfortable about your friend asking, just tell them straight you don't want to spoil the friendship...if it is a real friend, he/she will understand and if not...forget the friendship.