241–250 of 344 posts
Well it took me borrowing one video game to learn that lesson. "No, you must've borrowed it to someone else" when I asked. First game I bought for my own pocket money, which at time, in Poland, was a lot for a kid as it was full price title, Baldur's Gate 1 in nice box with manual and a map, and dubbed gloriously with then-radio/TV stars, hell, the narrator voice was better than original. Needless to say I was pretty…
When I was younger I learned that loaning money to friends, and then asking to be repaid, sucks. You're made to feel like you're some sort of Scrooge character. Now I either simply give whatever is asked, and make it clear I do not wish to be paid back, or just say no. Initially it seemed logical to say OK you need 100 bucks for this or that and you'll get me back. But then a month later I'd mention it and was met wi…
Complicating things is that the penalties for not paying others, like a bank, utility company, landlord, etc. are real and tangible. Whereas hurt feelings are much more readily dismissed than an eviction notice or a debt collector.
I loaned a close college friend $7000 last year. Due to life circumstances and lack of family resources, he was stuck in a rural area with no developer jobs. He was having trouble landing a remote job and I ignorantly asked why he wasn’t applying to in-person jobs on the west coast. He told me that he certainly wouldn’t be able to afford to move and I told him “don’t let that stop you”. Fronting him moving expenses w…
1. Why poor stay poor (you need money to make money)
2. Why successful startup founders skew being from well-to-do families (they can afford to take the risk).
Really applaud you for helping your friend. You truly change their life.
America is definitely the "land of opportunity", more so than most countries, but it's really difficult to bootstrap when you don't have the means.
I loaned a close college friend $7000 last year. Due to life circumstances and lack of family resources, he was stuck in a rural area with no developer jobs. He was having trouble landing a remote job and I ignorantly asked why he wasn’t applying to in-person jobs on the west coast. He told me that he certainly wouldn’t be able to afford to move and I told him “don’t let that stop you”. Fronting him moving expenses w…
The risk of them not being able to pay you back and thus destroying the friendship is so high that I wouldn’t recommend this unless you are ok with losing that person as a friend OR you just give them the money without expectation of it being paid back.
1) If you are going to be financially impacted in any way by not having the loan repaid you should't "loan" (gift) it. Like gambling don't do it if you can't afford to lose it.
2) Assuming #1, the overall psychological stress and potential impact on the relationship just isn't worth it. As the "lender" you should feel good about helping someone while learning something about them in the process.
Personally, in having this outlook with family and friends they essentially get one shot. If all parties agree it's a loan and the debtor doesn't pay back the funds I move on without impact to the friendship but mentally they have a "strike" in my mind that essentially says "they can still be a good person and friend, but money can never enter the relationship again".
I feel like it's a decent balance.
I loaned a close college friend $7000 last year. Due to life circumstances and lack of family resources, he was stuck in a rural area with no developer jobs. He was having trouble landing a remote job and I ignorantly asked why he wasn’t applying to in-person jobs on the west coast. He told me that he certainly wouldn’t be able to afford to move and I told him “don’t let that stop you”. Fronting him moving expenses w…
The risk of them not being able to pay you back and thus destroying the friendship is so high that I wouldn’t recommend this unless you are ok with losing that person as a friend OR you just give them the money without expectation of it being paid back.
Have lent to many friends/family members over the years telling them to pay me back whatever/whenever they can, however they want. Some have taken decades. No one has not paid back. Few have needed a nudge, which I only give after they have climbed out of whatever hole. Honest people will always make an effort to repay their debts. The rest make lousy friends anyway.
I loaned a close college friend $7000 last year. Due to life circumstances and lack of family resources, he was stuck in a rural area with no developer jobs. He was having trouble landing a remote job and I ignorantly asked why he wasn’t applying to in-person jobs on the west coast. He told me that he certainly wouldn’t be able to afford to move and I told him “don’t let that stop you”. Fronting him moving expenses w…
I've also loaned some amounts of money to people I figured wouldn't pay me back, but in smaller amounts. Often they behaved as expected and didn't pay me back, but because I was expecting it was also more or less of a non event.
Generally, someone asking for a non-trivial loan is in a really bad place; your loan may likely not be enough for them to get out of it, for whatever reasons they need money now, it's probably not that unlikely they're going to be unable to pay back the money when they optimistically thought they would, the loan probably isn't going to change their life circumstances as much as they hoped.
If that happens, are you willing to let it destroy your friendship? If yes, then why are you loaning them money in the first place, you apparently don't trust them enough or value their friendship enough to give them a personal loan, at least not of the size you gave them, a size which if not paid back would hurt you a lot.
And if you wouldn't end the friendship if they didn't pay it back... why not just make it a gift instead of a loan? Maybe for less than they asked, for what you can actually afford to not see back without being resentful -- because that's what you'd be risking with a loan anyway.
I learned this the hard way. Loans will ruin friendships.
I sometimes say no, sometimes say yes, but almost always make the 'yes' a gift not a loan. Pay it forward, pay it back to me however you think appropriate with voluntary favors or helping me when I need it myself, but not expecting you to pay it back monetarily at a certain date.
Earlier quoted context omitted.
The risk of them not being able to pay you back and thus destroying the friendship is so high that I wouldn’t recommend this unless you are ok with losing that person as a friend OR you just give them the money without expectation of it being paid back.
If a friend can't pay you back for legitimate reasons, which I admit are subjective, you shouldn't let it affect your friendship. If it does it says more about you than the friend
Earlier quoted context omitted.
The risk of them not being able to pay you back and thus destroying the friendship is so high that I wouldn’t recommend this unless you are ok with losing that person as a friend OR you just give them the money without expectation of it being paid back.
If $7k destroys a friendship, it's not really that close of a friendship. Sure, there should be some consequences for not paying it back, but incessant mockery and refusal to pay for McDonald's is probably a fair exchange. "Give people lots of leeway, but only once" has worked out well so far. People can't fool you into making a big mistake twice, and once is just the cost of doing business^W^Wfriendship. On the othe…
If you promised to payback $1 that I lent you, and you don’t despite having it, I’ll equally judge you as if it were $1 million dollars.