5. Informal

When a bank lends money, it imposes conditions, makes checks, and chases up the borrower if they miss a payment.

That's business;

people accept the requirements imposed, and know they will face consequences if they default.

Lending money to friends is informal.

When will it be paid back?

What can you do if they don't pay you back?

How can you prove that they owe you money?

Awkward
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