Private lending,
made clearer.

The lender is called the Patron. A Patron lends their own capital to businesses or people they know and decides which requests to accept.

Create your account and confirm your email, then verify your identity and set up your funding account. You can then invite the businesses or people you may lend to.

No. You decide whether to proceed with each loan after reviewing the request and agreeing the terms.

The borrower pays a servicing charge based on the loan amount and structure, calculated on the outstanding balance with a $20 monthly minimum. Document preparation and verification fees are separate; the Patron chooses who pays them. Both sides see the fees and repayment schedule before agreeing to the loan.

See costs in a loan example

Invite the people or businesses you may lend to. Their invitation connects each request to you.

It is the people and businesses you invite to request a loan. This is called your Circle in the application.

Yes. Removing someone stops future requests. Existing funded loans continue under their agreed terms.

No. You decide whether to approve, propose different terms, or decline each request.

Friendly notifies you when a request arrives. Your account shows the amount, purpose, proposed terms, repayment plan, and supporting borrower information.

You do. Friendly organizes the request; you decide whether to approve, propose different terms, or decline.

Yes. Choose the amount, interest rate, term, repayment structure, and fee allocation. The borrower reviews your offer before the agreement is signed.

Friendly communicates the decision and keeps it with the request.

Yes. You can propose a different amount and terms for the borrower to consider.

No. Friendly manages scheduled payments, statements, and payment follow-up. You review decisions that need your input, such as a proposed change to the repayment terms.

Find signed agreements, payment history, statements, approved changes, and payoff records in your Friendly account.

The missed payment appears in the loan record, and Friendly coordinates follow-up. Requests for a change stay with the payment history for your review. Your servicing agreement sets out missed-payment and default procedures.

Friendly coordinates follow-up and keeps payment history and proposed changes with the loan. Default procedures follow the applicable agreements. You retain the risk of nonpayment, including loss of capital; servicing does not guarantee repayment.

Yes, when both parties agree to revised terms. Friendly documents the approved changes with the loan.

You choose the rate. Friendly checks your proposed rate against the Applicable Federal Rate (AFR), an IRS reference for private loans, and flags a below-reference rate for review. The applicable rate depends on the loan’s term and timing. A lower rate can have tax implications; your tax advisor can help you assess your circumstances.

No. Friendly provides loan records and documentation. Your CPA, attorney, or advisor advises on their legal and tax treatment.

Loan statements and payment records provide a reference for your tax preparer. Any tax-form preparation or filing service must be included in your service agreement.

The request includes borrower details, the amount and purpose, proposed terms, repayment information, and supporting documents available for that loan.

No. Borrowers see information about their own loan relationship, not your other loans or broader financial activity.

Multi-factor authentication helps protect your sign-in. Document access follows account roles. The privacy notice describes the information handled by Friendly and its service providers.

Yes. Advisors, CPAs, attorneys, and family offices can introduce clients who are considering a private loan. The client makes the lending decision and authorizes any sharing of loan records.

A bank contact can introduce a client who plans to fund a private loan themselves. A formal referral partnership requires a separate agreement.