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Fifteen years ago, I learned a lesson about lending money the hard way. A relative of mine hit difficult times in their finances and asked me for a $10,000 loan. You might be familiar with the situation. The family hit hard times, mostly from their own doing. Job layoff. Financially damaging relationship. Overspending on luxury goods and trips they couldn’t afford.

So, why ask me for a loan? Or better yet, why not me? They knew my family was having financial success. They knew we had just bought a big house. Nobody ever takes your money as seriously as their own money.

I’ll never forget what he asked me. "I just need a small loan of $10,000 to get me through this patch and I promise that I’ll repay you in the next few months." With one of the biggest mistakes of my life, I told him yes to the $10,000 loan.

ALMOST 60% OF PARENTS STILL GIVING THEIR ADULT KIDS MONEY, WHILE MAJORITY OF ADULT KIDS LIVE AT HOME: SURVEY

No thank you note. No thank you e-mail. No follow up after my money hit his bank account.........

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