That is that He commanded us to lend to the poor, to lighten his poverty from upon him and to ease [his condition]. And this commandment is stronger and more obligatory than the whole commandment of charity. For the anguish of one who has [already] been revealed and disgraced to ask from people is not the same as the one who hides that he needs to be helped, so that his poverty not be revealed and he be disgraced. And the statement of this commandment is His, may He be exalted, saying, "If (Im) you lend money to My people" (Exodus 22:24). And the language of the Mekhilta (Mekhilta d'Rabbi Yishmael 20:22:1) is, "Every, if, in the Torah connotes optionality, except for three." And this is one of them. And they said, "'If money,' is obligatory. You say it is obligatory, but perhaps it is optional. [Hence] we learn to say, 'and you shall surely lend him.' It is obligatory, not optional." And the laws of this commandment have already been explained in Ketubot. (See Parashat Shoftim; Mishneh Torah, Creditor and Debtor 1.)

If you lend money to My people, to the poor among you, do not act toward them as a creditor; exact no interest from them.

It is a positive commandment to lend money to the poor among Israel, as Exodus 23:24 states: "If you will lend money to My nation, to the poor among you." Lest one think that this is a matter left to the person's choice, it is also stated Deuteronomy 15:8: "You shall certainly loan to him."This mitzvah surpasses the mitzvah of charity given to a poor person who asks for alms. For the latter person had already been compelled to ask, and this one has not yet sunk that low. Indeed, the Torah is very severe with regard to a person who does not lend money to a poor person, stating Ibid.:9: "Beware lest there be a defiant thought in your heart... and you look badly upon your poor brother and you not give him."

If, however, there is a needy person among you, one of your kin in any of your settlements in the land that your God יהוה is giving you, do not harden your heart and shut your hand against your needy kin. Rather, you must open your hand and lend whatever is sufficient to meet the need. Beware lest you harbor the base thought, “The seventh year, the year of remission, is approaching,” so that you are mean and give nothing to your needy kin—who will cry out to יהוה against you, and you will incur guilt. Give readily and have no regrets when you do so, for in return your God יהוה will bless you in all your efforts and in all your undertakings.

There are those who teach that which Rav Huna said in connection with that which Rav Yosef taught: The verse states: “If you lend money to any of My people, even to the poor person who is with you” (Exodus 22:24). The term “My people” teaches that if one of My people, i.e., a Jew, and a gentile both come to borrow money from you, My people take precedence. The term “the poor person” teaches that if a poor person and a rich person come to borrow money, the poor person takes precedence. And from the term: “Who is with you,” it is derived: If your poor person, meaning one of your relatives, and one of the poor of your city come to borrow money, your poor person takes precedence. If it is between one of the poor of your city and one of the poor of another city, the one of the poor of your city takes precedence.

It is forbidden for one to lend money - even to a Torah scholar - without having witnesses observe the transaction unless the lender receives an article as collateral. It is even more commendable to have the loan supported by a promissory note.Whenever a person gives a loan without having witnesses observe the transaction, he transgresses the prohibition (Leviticus 19:14 : "Do not place a stumbling block before the blind" and brings a curse upon himself.