3,434. Lending Money Against Tithes

Hilchos Maaser 7:5

If someone lends money to a kohein, a Levi or a needy person so that he can take produce for the money owed from the tithes they have coming, he may keep taking tithes for them based on the assumption that they’re still alive. One need not be concerned that the kohein or Levi died or that the needy person became financially independent.

Hilchos Maaser 7:6

One takes tithes for them as follows: He takes terumah, first tithe or the tithe that goes to the needy, and gives it to a third party on behalf of the kohein, Levi or needy person to whom he has lent money. If the borrower regularly receives these portions from him – or if the lender gives these portions to that person exclusively – then he need not give them to a third party on the borrower’s behalf. After separating these portions, the lender calculates the value of the separated produce deducts it from the amount of the loan. He may do this until the entire debt is repaid. The terumah may be sold to any kohein he chooses and the lender may eat the tithes himself.