In fact, Brits are willing to lend on average £607.22 a time but only half get the money repaid. And this problem looks set to be on the rise - more than a quarter (27%) say they are more likely to borrow money from family or friends compared to last year.
Topping the poll of reasons why people loan money to loved ones was to pay everyday household bills and contribute to a deposit on a house or car. Aside from the more conventional reasons, 6 per cent admit they've helped a friend to fund their social life and 6 per cent even lent money for a holiday.
The AA Personal Loans research also showed that it's embarrassment that prevents 6 per cent of people asking for their hard earned money back - with the results revealing that 11 per cent of Brits feel too uncomfortable or mean to ask for their cash. Men appear to be slightly more compassionate than women with 12 per cent not asking for this reason.
Relationships ending was another significant factor for falling into debt as 9 per cent of us had to write off debts following a break up. Men were more likely to be left in the red with one in 10 not asking for cash back once the relationship was over.
In addition, AA Personal Loans found:
60 per cent of Brits have lent money to a family member, colleague or friend
Scots are the most generous with 12 per cent saying they would lend up to £5,000 compared to the average of only 8 per cent in the rest of the UK
76 per cent of Scots have paid back the full amount of money borrowed compared to people from the Midlands and Wales who have only paid back 67 per cent
Scots are the biggest borrowers in the UK with 49 per cent borrowing money
18 per cent of people would ask their mums if they needed to borrow money, whereas only 13 per cent would ask their dads
More than a quarter of those surveyed are more likely now, than 12 months ago, to ask family members, friends or colleagues for a loan than go to a financial institution
Mark Huggins, Head of AA Personal Loans says: "Brits are clearly extremely generous when it comes to lending money, with large sums of cash being loaned to family members and friends for everything from house deposits to holidays. However, our research indicates that unless you can afford not to expect the money back immediately, don't feel pressured into shelling out your hard earned cash. To ensure that relationships are not soured, there are still good loans on offer with low borrowing rates."
I knew there must have been a reason behind this survey!
