EXOD713 We are obligated to lend money. It is an obligatory act, not merely a charitable act, to lend money. The reason the Torah uses the word if is because of the latter part of the verse. Only when you lend money are you are forbidden to be a demanding creditor. A person who borrows money spends it and if he is not able to pay back when asked, you must not press him. If, however, you lend someone an object, that object remains in his possession and you are therefore permitted to demand its return. (Chofetz Chayim in Nesiv Hachesed 1:2). When you lend someone money, you gain more from your act of kindness than the borrower does. The borrower is helped only in this world, while you gain reward in the world to come. (Kli Yokor on this verse). [The author lists and explains thirteen laws regarding the obligation to lend money]. There is an old Jewish custom of establishing gmachs, or free loan societies. People donate money to the society which lends money without interest to anyone requesting a loan. Today in Jerusalem there are hundreds of such institutions. The larger ones are almost like banks, except that they are non-profit organizations and do not charge for their service. They lend out money for various lengths of time, the average being a year. The recipient of the money gives twelve post-dated checks payable the first of each month for the next year, and receives the amount of money he needs in one lump sum. These free loan societies are really lifesavers to many people who need money in a hurry. Every community should form at least one such society.