I am slowly building a good collection of high-quality instruments. It’s not easy to do that on a graduate student’s budget; I accomplish it by living frugally, saving carefully, shopping around, and generally putting a great deal of thought and planning into each purchase. I don’t buy instruments on credit. I protect my investments with conscientious care and maintenance, as well as an excellent insurance policy by a company that specializes in musical instrument coverage. (Incidentally, this policy quickly paid for itself, several times over, when there was an “incident” with my flute a couple of years ago. Seriously consider getting one if you don’t have one already!)
Every now and then someone asks to borrow an instrument from me. Often it will be a saxophonist who needs a flute or clarinet for a gig they have already agreed to play. My policy, which I have upheld almost perfectly for several years now, is simple: I don’t loan instruments to anybody, for anything, period.