I have a friend whom we have been together for 5 years. His major problem is that he is not creditworthy. On several occasions, I have lent him money that ended up as bad debt.
I am a local micro finance business operator (known as Alajo). Certainly I always have people’s money with me at every point in time.
Recently, he developed some health issues. According to him, he needs about #120,000 for treatment. He came to me for loan. He promised to pay back in a month’s time. But the money with me is people’s money. I earn less than #60,000 per month. If he fails to pay, how do I pay the people that are saving their money with me, and I don’t want to be a bad friend.
Am seriously confused. Should I risk it or not? Advice me.