Seven things to consider before lending money

A well made loan ensures the safe return of your money plus reasonable interest. A poorly made loan can leave a hole where your money used to be, or worse! Is the borrower gainfully employed? If your borrower doesn't have a job, how are they going to repay the loan? If the money is to start a business, see the next question. If not, you'd better make sure they have some form of income they can divert into loan payments to you. Lending money because someone doesn't have enough only works for the predators that use up and discard their borrowers. For any responsible lender, a borrower with "insufficient" income is a poor candidate for a loan. Does the borrower know the business? If the money is to start a business, their plan had better include a way for the loan payments to get paid each month. They also better have a solid background in the industry and a proven track-record of success in that industry. Loaning money so someone can try