A Loan to My Very Good Friend

Recently, a very good friend asked me for a two months personal loan to sort out his temporary cash-flow problem.

He's just starting out as a self-employed person in a field which he's very, very good at. The number of clients and projects he's got in hand right now should earn him, in two months time, a lot more than the loan amount and enable him to easily pay off the personal loan without any extension.

I have every confidence in his ability and integrity, so I agreed without any hesitation or condition. Besides, he helped me out without asking any question when I was in a similar situation a couple of years back.

In spite of my saying that it's not necessary, he has insisted that we sign a contract or something to document in writing the terms of the loan. What a friend, I thought. His insistence certainly enhanced his credibility and integrity as far as I am concerned.

He even referred me to this site on loans so that I can browse through the posted personal loan agreement and loan letter which we can make use as the basis for our loan contract. I eventually agreed on the condition that he drafts the loan contract.

What a wonderful friend he is. Full of honour and integrity; very rare these days.