should it really matter..

I might have said I didn't need to know what's for several years ago. But at one time I lent some money to a friend. I didn't ask what it was for, trusting it was just money she generally needed. I found out later what it was for and I couldn't believe that was what I had handed over money for. So now, I might actually ask beforehand what the money was going for before I gave it over.

If someone asked to borrow money from me I wouldn't ask what it is for. Unless the person is someone I think they would use the money in a wrong way. But the majority of people I know I wouldn't ask what it is for if they needed money from me.

Since you're the one lending them money, I think there's nothing wrong if you ask them what they're gonna use it for. Not that you're prying or anything but it's yours if you really wanna know. But, don't feel bad if they rather not disclose. Both of you have the right to do whatever you wish. You to ask, lend or not lend ...and them to answer or refuse to answer.

Yes, it is completely okayy. What if they were using the money for something horrible? You would have helped that horrible thing along.