Be sure when you get the computer back, it includes the Snow Leopard DVD install disc set.
As the install disc should be included with the loaning of the computer, regardless of outcome...
You could create a clone of the current MacBook drive content on an externally enclosed HDD
for later use when you get the computer back. Then you could re-clone it back into MacBook.
If the person to use the MacBook may upgrade the OS to a later version than Snow Leopard
and uses the Mac App Store, that would be set up with their (and not your) Apple ID. This
could have consequences, and sometimes a system upgrade without a hardware upgrade is
not a good idea. Usually more RAM and additional capacity hard disk drive helps, then.
When loaning any electronic consumer item be aware the unit may at any time fail, even if
the person borrowing it takes excellent care of it. Even so, due to weather and handling of
such items, they too can be forced into a shorter life than otherwise. I try to not lend stuff
that I hope to see & use again. Things seldom are the same.
For an idea on what older MacBooks in repaired condition sell for, see wegenermedia.com.
For newer used MacBooks, (older than Apple Store refurbished) see macsales.com used
or any other which offers repaired units. wegenermedia repairs most all Apple portables.
Good luck & happy computing! 🙂