Which of the following are recommended if you loan money to a friend or relative?
A)Do it in a business-like fashion.
B)Charge interest if the loan is not to be quickly repaid.
C)Be sure both parties understand it is a loan, not a gift.
D)Lend only money you can afford to give away.
E)All of the above

Question

Quizplus · Accepted Answer

All of the options listed are recommended when loaning money to a friend or relative. It's important to treat the loan as a business transaction, which includes outlining clear terms, setting up a payment schedule, and charging interest if necessary. Both parties must be clear that the loan is not a gift, and it is also advisable to only lend money that you can afford to lose if the borrower is unable to repay it.

Which of the Following Are Recommended If You Loan Money