If someone asks money, especially for betting purposes, the best answer you can give is to tell them to seek for a lending platform or bank, instead of asking you for funds. It's just too complicated to deal with loans without guarantees ensured by the law of your country. Unfortunatelly the truth is that the law protects the monopoly of banks on this matter, so they don't have competition on this business, where common citizens could be offering loans with cheaper interest rates in an open market.
Well, yeah, every country has its own regulations, and in a country where an individual is not allowed to lend money to people unless the person has a registered company and license to operate as a lender, then anybody who chooses to neglect the regulations of their country will bear the risk of action. Just like you have said, the best thing is to ask the person to visit a financial platform or a bank to apply for their desired loan. The only condition that the person is allowed to lend to anyone is if they are ready to let go when the person doesn't pay back.