How does this work in practice, though? I don't know how this would be possible at all. I have loaned money to family members in the past, and been paid back when they were back on their feet. But if a friend or family member borrowed money and never paid it back, even after they were over their financial difficulties, and never mentioned it or made any effort to repay the loan, it would certainly affect my opinion of them; at the very least, I'd expect them to offer some explanation as to why they weren't able or willing to pay me back as we agreed.

So do you actually mean this, or are you just signaling how kind you are?

I've found that this applies to much more than just money.