Every person once in their life faces a financial crisis or financial instability. Especially the youths when they are in their early twenties when they are probably just starting working or as a student, they are not financially stable at that time. In most of the cases by the end of the month, the person finds himself/herself in a broken situation.
All of us have faced the situation at least once in our life and this is the time we end up asking for money from our home parents or family members. Even when you are planning to set up a business for you or any other source of earning income and you need a loan for this, you may prefer to take the loan from someone you know as a friend or any family member rather than Bank ok or any financial institution that involves preparing documentation and paperwork.
But there are many things one needs to take care of before asking for money from a family member. Today team zantania will be talking about how you can ask for money from your family.
1. Analyze Your Budget First
Before you ask for money from your family members or close ones, analyze your budget and make an estimation of how much money you would need from them. Try to keep the loan amount as low as possible. For example, if you need $20 for a work and you have $14 by yourself, then ask for only the $6 that you require. This will ensure that you can pay back the money in less time. Mention your family member, your financial budget, and the exact amount you need extra to cope up with the particular reason so that your family can get a flexible idea of what you need.
2. Why You Need The Money
Your family members or close ones would ask you the first question is why you need the money. For what purpose you are going to make use of their money. They also need some kind of information about why they should financially help you. So be clear about why and how you are going to spend the money you will lend. Commonly It is seen that people and money for marriage purposes or to complete their education or to meet the expense of the hospitals. Be clear about your financial budget and your need for how you are going to use the money so that your family members can offer you the best help they can.
3. Repay
Discuss with them about how you are going to repay the loan and what time would you take to clear the money you are borrowing. The repaying period should be proportionate to the size of the loan. Certainly, if you take a loan of 1 lakh rupees you will take a long time to pay it back as compared to the time you will take to pay back the amount of 50,000 rupees. Also, discuss how you are going to pay it back. Monthly, quarterly or yearly installment, along with the interest rates.
4. Don’t Ask From Financially Unstable Person
Don’t ask for financial help from any friend or family member of yours who themselves are going through a rough time or are not financially stable. It is very important to understand the other person’s financial situation as well. Let’s assume you trust your brother with 100% and you are asked for some money from your brother, your brother who lost his job a few days ago and has no source of other income. Maybe he won’t say a no to you out of love and care, but as a sister, it is your duty to understand his situation as well.
Try not to create pressure on someone who themselves is under pressure.
5. Ask From Trustable Person
Ask for money from someone whom you can trust. The first member that comes to our mind when we think about asking for money is our dad or mom. Having a healthy and trustful relationship with the person you are asking for money from is very important. The person also needs to trust you in order to hand over their money to you. The more trust there is in your relationship, the more likely they will give you a loan.
6. Be Transparent During The Conversation
When you are talking to your family member who is going to pay you money, be transparent and honest. This will give the other person the confidence that they can hand over their money to you without any risk and you will pay it back. Be clear about why you are taking the money, how you are going to use it, how much you need, and how you will be paid back. Also, discuss the terms in case if you fail to pay back the money what alternatives will be provided to the person. Don’t hesitate or hide this information from the lender, this will create a sense of distrust for you.
7. Good Communication
Have good communication with the lender. Once they pay the money it is your duty to contact them and pay them back their money. Call them from time to time as you would do normally to check upon them. Also if you’re paying the money in installments ask them if they have received their last installment or if there is any mistake from your side.
Even if you are facing some problem in repaying the money, discuss it with them and you can ask for some extra time or some alternative to paying for the cost.
8. Repay In Time
Try to repay the loan within the given time. If you set up your mindset as “yeah I know him/him I won’t run with his money, what’s there to rush!”, This will create a picture of your dishonesty and irresponsibility for others. That person won’t lend you money a second time. Aur main even ask your other relatives not to trust you in terms of money. Repeat the money within the given time and if you can then try to repair it before the time so that they can help you another time in case you face a tough situation again.
Money FAQs
How to ask for money politely from your parents?
Tell them why do you need the money e how much do you need and ask them to land you the particular amount reassuring you will pay it back as soon as possible. Though your parents may won't take back the money from you, this will create a good impression of you in the eyes of your parents.
Can I get money from someone?
Yes, you definitely can get money from people you may know or even from people who are strangers to you.
Is it illegal not to pay back someone else's money?
If you are taking money from and financial institution with proper documentation and collateral then the institution can take a legal step against you if you don't it repair the money but if you to take a loan from the person or money lenders without any paperwork, then they may not be able to take any legal action but this is ethically wrong.
How do I collect money from a friend?
Ask your friend politely to pay you back the money you gave them. Aur just reminds them they owe a money or a treat to you.
Conclusion:
So guys we have shared with you how you can ask your family members for money. We hope you like this article.
Share this article with your friends and check out our other articles as well. Do let us know what you do when you are broke by commenting below. And if you have any questions for us then leave it in the comments section we will get back to you shortly.