How to set a fair interest rate when borrowing money from brother.

forgotmyname

Why not use the ISA money and buy it yourself?

If you need assistance later than ask him?

Why pay more interest to borrow money than you earn on the savings?

somethingcorporate

Have a read through the lending money to friends and family thread. Families are often torn apart on fallings out over far, far tinier sums than this.

If you have the money yourself do not drag your brother into your financial affairs.

DevCoder

LIBOR + .5 is considered favourable.

But what everyone else says, do not lend or borrow from family or friends.

imsi

forgotmyname wrote: »

Why not use the ISA money and buy it yourself?

If you need assistance later than ask him?

Why pay more interest to borrow money than you earn on the savings?

I thought the advantage of keeping an ongoing tax free capital sum would outweigh the disadvantage of higher interest rates for 5 years.
Is this wrong?

somethingcorporate wrote: »

Have a read through the lending money to friends and family thread. Families are often torn apart on fallings out over far, far tinier sums than this.

If you have the money yourself do not drag your brother into your financial affairs.

Seems like most problems are with disreputable borrowers. I'm not one of those.
You could say he is dragging me into his. It is hoped to be mutually advantageous.

opinions4u

Interest loss.

Currency exchange costs.

Currency rates at the time of repayment (up or down).

These are things to consider.

Personally I'd cash my ISAs in and not borrow.