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Money is in deed a very sensitive issue easpecially among friends and if not handled well, it could lead to quarrels and termination of friendships.

Therefore, before you lend money to someone close, say a work mate, the following ar the five key things you must consider first.

1. Lend money you can spare. Do not run into debts trying to find money to lend the fella. If you have money, and you can spare the little to lend, well and good. If not, let him sort himself elsewhere.

2. Have an agreement with the person. If possible, make it written down, stating the amount, the date of borrowing and refund, and other necessary details.

3. Lend money to a friend you trust. Sometimes we are carried by the emotion of the moment to forget that James always absconds paying his debts. It will be a grave mistake to enter into this gave yourself knowing that lending him money is like throwing it into a deep sea.

4. Make your rules clear. Let your friend fit into your rules. If you are allways refunded within a week, make it clear to them. If your lending limit is Sh200, make it clear. Let your friend borrow within your rules. Anything out of them, let them borrow elsewhere.

6. Do not shy away from asking your money back. If it is time they returned the money, ask for it. Perhaps they have forgotten and you are busy expecting it back. Remind them since this is not a crime!