Nowadays it seems that someone always has their hand out asking you to part with your money. Whether it is family and friends requesting a loan or charities that continually ask you to donate to their cause, it is in your best interest to turn down these money requests and keep your cash in your own pocket.
1. Saying yes encourages repeat requests
Once you have said yes to a request for money, it simply encourages the recipient to look to you for a handout again in the future. When you say no, it sends the message that you are not an ATM and that your money is your own.
2. You may need that money in the future
Even if being a benefactor makes you feel good, it is possible that you may need the money you loan or donate in the future. You never know when the car may break down or the kids may need braces. Hang onto your excess cash and sock it away for when you need it instead of doling it out to others.
3. Even small requests add up
Although you may feel like a heel for turning down a request for small amounts of money, you must realize that these minute amounts add up. Ten dollars here and twenty dollars there will accumulate to a significant amount over the course of a year.
4. You will find out who your friends are
If you have ever questioned whether people like you for you or for your money, turning down a request for a loan will soon reveal the truth. A friend or family member who cuts off their relationship with you after you say no to a loan was not in the relationship with you for the right reasons in the first place.
5. Lending money complicates relationships
Many people who have loaned money report that lending the money to a family member or friend has changed the relationship irrevocably. It will certainly change it if they fail to pay you back and even if they do make good, sometimes the strain of owing money affects the way the recipient feels about you.
6. Your money may not be used as you expect
When it comes to financial requests from charities, you could be throwing your money away. Unless you are intimately acquainted with the charity and know how it uses the money it receives, the majority of your money could go to administrative expenses with very little reaching the actual recipients you want to help.
7. It may be a scam
In this age of endless scams, a request for money may not even be legitimate. Scams abound and if you are obliging enough to send them your money, all the better for them. Realize that sending a check to a fake charity also gives the scammer your routing number, bank account number, name, phone number, and address.
8. Everyone will start asking
Once you gain a reputation for loaning or giving money, you may be bombarded with requests. Giving to one charity often lands you on the mailing list of other organizations. Even among friends and relatives, when they that you have loaned or given money to another, they may feel more justified in hitting you up themselves.
9. Other support may be more appropriate than money
Turning down a request for a loan or donation may help you provide other support that can be of more help. Instead of throwing money at a problem, sometimes a personal touch is better. If you do not want to give to the local animal shelter, for example, volunteer your time instead.
10. Sometimes giving money hinders
If you have ever known someone who is always looking for handouts, it may because they have never learned to be self-sufficient. While it may seem heartless to turn down someone who is really in need, you may be doing them a favor by finally teaching them to manage their own problems.
Even though there will always be money requests, remember that you can always say no. Just because you have available cash does not mean you have to part with it, especially to accommodate someone else. Your money is yours to do with as you please.