Lending as tzedakah

Hi,

One may lend money to a pauper, having in mind that should the pauper not pay back then the loan will count toward the maaser kesafim obligation of giving 10% of one's income to tzedakah. Of course, this works only where the pauper is indigent enough to qualify as a recipient of that 10%.

(Rav Moshe Feinstein, Igrot Moshe Yoreh Deah 1:153; see this responsum for another discussion about retroactively identifying a loan as tzedakah after default)

Have a great day,
Mordechai