In life, there are times we get into a financial fix and the only possible solution that comes to mind is to borrow money.
And as humans, we feel it is safer and more convenient to borrow money from our friends and family rather than using loan apps or approaching our financial institutions.
As much as it isn’t a bad idea to borrow money from friends, if I will be candid, it can be a risky endeavour.
This is because this singular act can put a lot of important things, like relationships, on the line especially when you fail to pay back when due.
Here are reasons to avoid borrowing from friends:
1. It gives them an insight into your finances
Your finance and financial capacity is a private matter and one that needs to be kept from the prying eyes of the public. The only person that has the right to know your status financially should be your partner and not your friends.
Borrowing from friends gives them an insight into your financial standing as an individual. They are able to rate how stable you are financially and if you’re not careful they can use this as a yardstick to begin to make financial demands from you in the future or even put you at a greater risk especially if you have friends who are not trustworthy when it comes to money matters.
2. You risk losing the relationship
Money is so powerful to such an extent that it is capable of destroying a friendship no matter how long the relationship has been. Borrowing money from friends put you at the risk of losing the relationship, especially in cases where things don’t go as planned.
If you truly value that relationship, I feel it is best you look for external means of getting any amount you need rather than borrowing from friends.
3. Gossip
Borrowing from friends can make you the hot topic for gossip. This is especially common among females.
No matter what you are going through financially, it is best you look for means to sort them privately rather than asking for help from friends.
Gone are the days when a problem shared is half solved, in this day, a problem shared becomes a hot topic for gossip.
No matter how much you trust a friend, don’t count on them to keep your loan information to themselves.
4. It can lead to a lack of trust
At times, certain situations may come up that might hinder you from paying your friend the money you borrowed as and when due.
No matter how you try to explain, some friends may just think you are making silly excuses and because of that, they tend to lose their trust in you.
Also, your reputation can be soiled as a result of this as your friend can tell another friend who tells another friend and before you know it these individuals lose trust in you even before some of them meet you and this soils your reputation among your friends.
It will consequently affect your chance of borrowing from other friends the next time you need it.
5. It brings about an awkward feeling
Borrowing money from a friend (s) can bring about an awkward feeling such that you become uncomfortable whenever you are around them.
Money issues are personal and private matters. Having to let a friend know you are short of money can put both of you in an uncomfortable position especially when you meet.
In all, this doesn’t mean there are no good friends out there that are willing to help when one is experiencing a financial crisis. The truth is that such friends are few these days and it is best you keep your private matters private and seek better options out of your financial crises rather than borrowing money from your friends.
