These Types of Loans Don’t Earn Interest
Loaning money to friends and family costs you money. Most likely, you won’t charge interest if you give a loan to a loved one. I neither paid interest nor charged interest on my family loans. If you could invest the money that you lent to friends and family members, even through peer-to-peer lending networks like Lending Club and Prosper, you could have received interest.
Pro Tip: Charging your friends or family members interest on loans might seem awkward, but it isn’t unreasonable. Obviously, the interest rate would be much lower than the rates offered by local banks or credit card companies.