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Hindsight is 20/20, but given the situation, I might have been tempted to tell him that my wallet was in the house, then hustled myself and my family inside and called the police (while also taking the chance to arm myself).

I have been approached twice by aggressive pan handlers saying "give me $20" or something similar. One was outside a store, and the other came up to me as I was walking back to my car from an ATM. Fortunately in both cases I did not have kids with me, so I just said, "sorry, Man, I can't help you" and kept walking. Both times, they uttered a few choice words, but did not try to stop me from leaving.

The funny thing is that I usually do give $5 or $10 to the people I see at intersections who are asking for money. It's not the money that bothers me as much as the attempted intimidation.