Irresponsible Question Time - What happens if I just decide not to pay?

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  • pupgrum
    pupgrum Posts: 130 Forumite
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    Bankruptcy doesn't affect you if you're self-employed, have no assets, and don't intend to make more than enough to live on. :)
  • pupgrum
    pupgrum Posts: 130 Forumite
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    I suggest simply leaving the country. It works wonders. The bank can't take you to court if they don't have your current address and you're not even in the country.
  • FluroFrancis
    FluroFrancis Posts: 32 Forumite
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    he wont necessarily get taken to court, I know people who have owed thousands and thousands and never had more than annoying phone calls and some scary sounding letters, though 10k to a single institution is a lot and possibly worth them chasing seriously
  • bigadaj
    bigadaj Posts: 11,531 Forumite
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    pupgrum wrote: »
    Bankruptcy doesn't affect you if you're self-employed, have no assets, and don't intend to make more than enough to live on. :)

    Not necessarily true by any means.

    It can stop you getting work from clients, you obviously won't get a mortgage, would struggle to rent a house etc etc
  • Tigsteroonie
    Tigsteroonie Posts: 24,954 Forumite
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    You have absolutely no idea what changes there might be in your life in the next six years - meet the girl/guy of your dreams, want to settle down, maybe have kids ...

    If you decide to default now, it'll affect the next seven years of your life. (Six years on the credit record, plus probably another year of still being hounded by debt collectors and trying to get your credit record cleaned.) No mortgage, no other credit etc.

    Are you happy to live exactly as you are now for the next seven years? As my Mum would say, you're a real catch ...
    :heartpuls Mrs Marleyboy :heartpuls

    MSE: many of the benefits of a helpful family, without disadvantages like having to compete for the tv remote

    :) Proud Parents to an Aut-some son :)
  • elsien
    elsien Posts: 32,756 Forumite
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    pupgrum wrote: »
    If you have no assets and self-employed, there's nothing the loan provider or court can do. Attachment of earnings order doesn't work on self-employed people. After 7 years the debt is written off and you profit.

    Although the OP says he doesn't have assets, he says he has the money to pay it off. Therefore being made bankrupt is a possibility.
    All shall be well, and all shall be well, and all manner of things shall be well.

    Pedant alert - it's could have, not could of.
  • takman
    takman Posts: 3,876 Forumite
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    pupgrum wrote: »
    If you have no assets and self-employed, there's nothing the loan provider or court can do. Attachment of earnings order doesn't work on self-employed people. After 7 years the debt is written off and you profit.

    I very much doubt they would write off £10k + of debt after 7 years. It will become statue barred and they will stop enforcing it after this time. But the debt will likely still exist and the fact that people's PPI refunds have been used to pay debts over 6 years old shows this.
  • Nasqueron
    Nasqueron Posts: 8,832 Forumite
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    If you are self employed, what happens if you need some sort of business loan or overdraft facility if the work dries up? With a massive black mark for not repaying debts you'd be stuffed
  • glentoran99
    glentoran99 Posts: 5,821 Forumite
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    takman wrote: »
    I very much doubt they would write off £10k + of debt after 7 years. It will become statue barred and they will stop enforcing it after this time. But the debt will likely still exist and the fact that people's PPI refunds have been used to pay debts over 6 years old shows this.

    Its only becomes statute barred if they don't take action, which they would
  • MABLE
    MABLE Posts: 4,080 Forumite
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    adnanjanuzaj wrote: »
    I owe money on a credit card. It's in an interest free period for another 12 months. I've used it for almost all my purchases for the past year and now owe nearly £10k. Make the minimum payment each month of about £100.

    I have no assets - no mortgage although I do have a car.

    I know a lot of people will frown on this but if I just decide to never pay it back once the interest free period finishes. What's the worst that can happen?

    I know my credit rating will be damaged but dont' really care.

    Edit: I have the money to pay it off but it is not held in accounts with the organisation with whom I have my credit card.

    Why not put your question to your credit card provider and see what they say.
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