Hi jccho,
Suggest you to reject her request.
When my maid finished the 2nd contract, she willing to continue the 3rd contract but she asked for borrows money to build a house at Philippines later. My hubby promised her to consider. After few months, she really asked for borrow $20000. We felt contradiction because she had a good performance in the past 4 years. If we didn't borrow her then what she will do in coming? My hubby preferred to borrow her $10000 but I don't think so. Then I discussed with my BK net-friends, finally I told her we only could borrow her $5000 and deduct $500 from her monthly wages due to we just bought a new house. She told me that she check her relatives if it can work/enough or not. Till now, she didn't raise again. That's what I can share with you.
It really depends on your relationship with your maid, her track record as well as how much you trust her. Do you think her need is real?
I guess what you need to consider is if you said no, will she then go to loan sharks or financial companies. Last thing you want is to have those people knocking on your door.
If you said yes and as a result she becomes more loyal to you, it may not be a bad investment (for $1k). Of course you still need to protect yourself and make it clear that she shouldn't expect you to help every time.
I have done it a number of times with mine. I would ask her to sign a simple document acknowledging how much they borrowed and what the repayment schedule is (for example, salary deduction in specific months).
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