Who is Debthunch?
Should you respond to DebtHunch and trust that they are the best way to consolidate debt? I don’t think so!
If you have been thinking about it and you just received a “too good to be true” loan offer in the mail from Debthunch or – listen to your gut instinct. Do you really think you qualify for a 0% interest rate? How many people with too much debt really qualify for that offer?
Do your own due diligence and don’t fall for a debt consolidation scam.
Lend to Friends and Family or Send To Debthunch?
When a friend or family member asks to borrow money, it can become awkward.
Indeed, a recent survey from Dodson Digest indicates that 53% of Americans are uncomfortable lending any amount of money to friends and family.
Among those most likely to lend to relatives and close friends, amounts tend to occupy either the low or the high end of the spectrum. 17% of respondents would lend no more than $100 while 12% would be prepared to lend $2000 or more.
The survey asked how much money you would be willing to lend to family members of close friends.
53% would not be happy lending any amount at all. 16.6% would lend up to $100, 9.8% up to $500, 6.1% up to $1000, 2.7% up to $2000, and 11.8% $2000 or more.
If they decide to lend, women typically lend smaller amounts than men.
Those aged 35 to 44 were most likely to lend money.
Respondents in the 45 to 54-year-old bracket were most unwilling to lend money.
Lending to Family and Friends: Tips
If you want to lend to your friends and family without straining your relationships, here are some simple tips.
Only lend what you can afford to lose
Whenever you lend money to someone, you should assume that you might not be repaid. By keeping this in mind, you should only lend an amount you would be comfortable losing.
Formulate a loan agreement
If you’re lending money to friends or family, create a loan agreement outlining the terms of repayment.
This will also constitute proof of the loan in the event of needing to take legal action to get your money back.
Find other ways to help
If you don’t want to lend money, you can still help in other ways.
Suggest alternative options like credit counseling, secured loans, balance transfer cards, or unsecured personal loans. Help them to review their finances and identify ways of saving money. Help them to find extra income either through finding a job, freelancing, or selling some personal possessions.