Loans from friends could spell the end
Brits are amongst the most generous people in Europe, as far as lending money to friends are concerned suggests findings from a new report.
Accordingly, a staggering ½ a billion pounds is lent between friends each year which represents around 10% of the population. The average loan size is said to be around £100, although 15% of people lend/borrow more than £150. However, analysts have suggested that the actual act of lending/borrowing money from close friends is also one of the biggest causes of interpersonal rifts.
It has also been discovered that the most common reason for requests of loans from friends, are usually to tide the borrower over financially until they receive their pay from work. Other reasons for borrowing include small business ventures, home improvements, new vehicles and holidays.
One of the UK’s leading banking institutions has advised any person that is considering borrowing money from a friend, to only do so if they feel their relationship can take any potential strain that a delay in payment could bring. The bank further suggested that it might be more suitable to approach their own bank for the lend, as a means to avoid risking their friendship in the first place.
