Money is said to be the backbone of modern life. This is attested to the fact that with money, you can carry out everything in life. However, money has also become an emotional issue with most families and friends. It is even said that money has successfully contributed to breaking strong friendships or family bonds that existed. This is because, when you lend money to your friends or family members, they dilly dally when it comes to repayment. There are some tips that you need to look at when you want to lend money to friends and family to save your relationship or friendship.

When lending your money, you should not risk what you can't afford. This is applicable in that you should not lend or gamble with your money if it is going to bring your financial situation to the skids. Irrespective of the importance of the person, you are not aware of what tomorrow holds. This gives the assumption that you should only lend money to your friends or family if you are aware that you will never see it again. It is therefore good to consider lending your money in small value.

Another lending tip you should adapt to is to avoid using your retirement account. It is discouraged to dig into your retirement account so as to lend someone money. In whatever circumstance a person might be in, always avoid these savings. Protect this account like a mother hen does to her nest-egg and don't allow your chickens to come close to it or touch it.

When making a decision on lending money, you need to communicate to your partner or spouse so as to get his or her view. This is because communication will not only save your money but also your relationship or marriage. This is because, if your partner is not for the idea of lending money to a certain person and you proceed, it might spur stress in your relationship. In case you are giving the loan to a family member, there is need to evaluate its impact on the rest of the family. In case you give this loan to one child, then it is evident that you are setting precedent. You might loan your money to your children, but there are those that might be irresponsible. This means that you need to be prepared to deal with any strife that might occur.

Before lending your money, it is good to determine the reason as to why the borrower needs it. Consider giving a loan to a person that really needs it. If the borrower in need of the loan so as to heed to emergency medical bills or he wants to use it to improve his life like home down payment, then this is a worth reason. In case he needs a loan because of poor spending decisions, then your money will also be spent poorly.