Comments on: How To Properly Loan Money to Family, Friends

By: Marci

Marci — Fri, 19 Dec 2008 03:02:28 +0000

And my personal fav rule: Never lend them more than you can afford to lose.

By: Jim

Jim — Tue, 09 Dec 2008 18:36:04 +0000

Nice article Jim. I had no idea there were minimum interest rates for such loans.

By: Donny Gamble

Donny Gamble — Tue, 09 Dec 2008 15:56:11 +0000

Even though I think it is a bad idea to rent because you are simply wasting your money and not getting anything in return. Due to the circumstances of today’s economy, it might actually be beneficial to rent until the economy gets a little bit better.

By: MoneyMateKate

MoneyMateKate — Tue, 09 Dec 2008 14:56:28 +0000

Thank you so much for this article! I knew there were guidelines out there, had never seen them, but really appreciate that we’ve been handed tax-related reasons to put a family loan in writing that will minimize the awkwardness inherent in wanting a written contract. I also didn’t realize that the giver of a >$12K gift paid tax – I thought it was the recipient. Again, thanks.

By: CK

CK — Tue, 09 Dec 2008 14:21:20 +0000

The proper way is don’t.

By: Cameron

Cameron — Tue, 09 Dec 2008 13:02:13 +0000

It’s pretty ridiculous I think that for a loan that I may want to give to my family or friends has to be above the applicable federal rates. Just another step in the process where they try to get your money.