Do what you wish. I have borrowed money from family interest free and have loaned money at interest to family?
Is there bad blood from it? Yes.
Did I make money? Yes.
Did I do anything wrong? No.
If you lay it all on the line beforehand and let them know this IS a business transaction and WILL be treated as such, you can feel free to have no qualms.
Lending money at interest, by the way, is called
Usury. Just to let you know, Jesus was documented as being WAY against this. If you're a Christian, I'd say avoid borrowing money or lending money at interest, for your own eternal benefit (if that's really what you believe.)
Would I lend money at interest to family again? Probably not. There's not enough reward for the drama involved.
Would I borrow from family again? Hell yes. The terms (0% interest and unlimited time to repay) are pretty damn good
