How do you suggest dealing with people who ask to borrow money from you, but you just don’t want to and you have politely said “no”? I hate being asked for money. I was badly stung one time (never got my money back) and I vowed never to lend money to anyone again. In fact, that episode taught me to make better financial decisions for myself and I am in good shape financially because of it.
I think if you ask someone for a favour, you should be prepared they could say no. But here, I politely decline, then people start to press and I find I have to explain myself — which I shouldn’t have to. What say you, Auntie?


Auntie’s answer: First let me give you my short-form answer: I agree with you. If you don’t want to lend someone money, just don’t do it.

I am sure, though, that along with you, many others have come upon situations where someone has approached them for a loan. I would go further to suggest the ones asking might often become, shall we say, fairly enthusiastic in their request, if they are initially turned down, making the potential lender feel very uncomfortable.

I will be very blunt here: I do not like being put in that position. Please don’t mistake what I say to mean that I do not like helping people or lending money to friends and family in financial need. But, if you have been asked and you have declined, that should be it. You should not have to explain your decision, or be made to feel guilty or like the world’s most awful person for saying no.

So, this is what I suggest: When you, as you have in the past, politely decline a future request for a loan, and then are pressed to give a different answer, respond firmly that you are simply not in a position to help. I would then ask the person to please respect you and your decision, and stress that asking again will not change your answer. You might also emphasise that you do not want this to affect your relationship, and would hope they feel the same. The idea is to prevent a drawn-out and difficult conversation.

I know that it is much easier said than done, but my final advice would be stand your ground. As you said, if someone asks for any kind of favour, they should be prepared to have their request denied. If you do not feel comfortable lending someone money, you should not have to.