Lending money with interest

[Alexandoy]

In our business culture lending money has been an industry. I have learned that my grandmother was lending money to people at 10% interest rate in a month. That is usurious but it was accepted by the borrowers. Now we have a neighbor who is doing just the same type of loan. The woman said that she has no job and lending money is her only means of earning. I have no quarrel with that. However, being a usurer is against my morals and I believe that it is a sin because lending money with high interest rate is like preying on a victim.

On the other hand if you have little money and you lend it then you earn something. How about selling a small asset like a refrigerator or washing machine? The proceeds can be used for a small lending business. For sure you can earn a good profit even with just 10% interest per month. Some lenders here charge 20% interest per month. That’s a sad fact of life for the borrowers.

 

[Samuel72]

Well as for me I see nothing wrong when it comes to lending of money with interest. I see this as a very good idea to make money at home. This is because many people around us needs money to start up mini business, if you have the opportunity to help them out and get some interest out of it, I see this as a very wise decision.

 

[btaliat]

In our business culture lending money has been an industry. I have learned that my grandmother was lending money to people at 10% interest rate in a month. That is usurious but it was accepted by the borrowers. Now we have a neighbor who is doing just the same type of loan. The woman said that she has no job and lending money is her only means of earning. I have no quarrel with that. However, being a usurer is against my morals and I believe that it is a sin because lending money with high interest rate is like preying on a victim.

On the other hand if you have little money and you lend it then you earn something. How about selling a small asset like a refrigerator or washing machine? The proceeds can be used for a small lending business. For sure you can earn a good profit even with just 10% interest per month. Some lenders here charge 20% interest per month. That’s a sad fact of life for the borrowers.

I know the exact religious moral you are speaking from. Lending money with high rate returns may not be morally right couple with the fact that the borrowers may even need it badly or even want to use to safe life and not for business reasons. Now where do you expect the borrower to find the money with a huge interest even when he only used the money to save life and not for business purposes?

 

[btaliat]

I quoted the poster based on the religion and moral perspective but I want to comment here as a business owner. Lending money out is a lucrative business but that has to be done with cautious. We should not be putting high rate on money lending out or we should be giving lesser time for the refunding of the money. At least, we should even be considerate while giving out money.