Help needed! £70,000 owed

Mike_St_Helens

southernscouser wrote:

We probably got off on the wrong foot. However I don't think its fair we keep hijacking this thread! Sorry OP!

Please feel free to post a SOA of your own. I haven't seen a person yet that we couldn't help.

The thing about having to pay for others mistakes/lame attitude to money is a totally different debate but what I would say is that the money credit companies lose through bankruptcies etc is all calculated in their lending rates but thats another issue another day!

:beer:

Hmmm... Another day, another thread yeah ?

Arch-Angel

Mike_St_Helens wrote:

£100 here and £120 there isnt gonna dent £70k though is it.

Im sorry.. I havent looked back to see how old you are job etc etc.... Im 29 going for the big B next month. OH and I are £130k+ in the cr4p and its all because of bad advice... but... you know, who cares... Get rid, you will have the repercussions for 1-6-7-10 years... but just calculate how long it would take if you were to pay it of with wages.

Have to ask this - but why it is that bad advice left you with £130K worth of debt when in a later post you stated that you worked as a credit underwriter??? Surely you are in a position to at least understand the risk at a fundamental level?

Mike_St_Helens

Arch-Angel wrote:

Have to ask this - but why it is that bad advice left you with £130K worth of debt when in a later post you stated that you worked as a credit underwriter??? Surely you are in a position to at least understand the risk at a fundamental level?

Quite simple really, I was an underwriter for many years, came into a bit of money, invested in a bad business and bang !

There you go... Simple.

delboypass

can the OP tell me how he has run up £70k of debts??
I am 29 and get paid £1300 but have a house deposit...but of course I dont have pet insurance and sky and £300 food budget a month etc...

What exactly has this money been spent on? I am not having a go at OP but want to understand how people get into these circumstances as even if you were overspending your salary by £1000 a month WHICH IS A HUGE SUM would have taken you 70 months would have taken you 6 years of your head being buried in the sand.

This is what people dont seem to understand...

Arch-Angel

Mike_St_Helens wrote:

Quite simple really, I was an underwriter for many years, came into a bit of money, invested in a bad business and bang !

There you go... Simple.

Yep Simple - apologies for being nosey.

mrslawrence2003

delboypass wrote:

can the OP tell me how he has run up £70k of debts??
I am 29 and get paid £1300 but have a house deposit...but of course I dont have pet insurance and sky and £300 food budget a month etc...

What exactly has this money been spent on? I am not having a go at OP but want to understand how people get into these circumstances as even if you were overspending your salary by £1000 a month WHICH IS A HUGE SUM would have taken you 70 months would have taken you 6 years of your head being buried in the sand.

This is what people dont seem to understand...

i am 27 and have debt of approx £38K or thereabouts. how did i get here - i paid for myself to go through uni in london, the first job i took i earned £14K first year and £16K second year - both years i continued to get further into debt as wasnt earning enough to break even. finally started breaking even after approx 3 years leaving uni, all going well for a while then i had to stop work. bang another lump of debt fm being ill and not being able to work for several months. oh, throw in a budget honeymoon (yes there was a wedding but i managed to save to cover most of that) and some bits and pieces like a bed etc and here i am. it's not hard. i dont lead an extravagant lifestyle by any means.....

4Chickens

Hi SimplyBroke

I can understand how worried you are about the possibility of going bankrupt, it is probably something you have never dealt with directly or indirectly before.
Well let me tell you, I had my first experience of it last year. My sister, who has been on benefits all her life realised she was approx £10k in debt to Barclays (split between loan and credit card).
I did some quick maths (I'm a bookkeeper and about £7k on credit card, so I'm no angel)and worked out it would take her 10 years to pay the debt back and a huge amount of that would have been interest.

So here's what I did:

I drew up an SOA for her
I marched her down to the CIB
They filled in all the forms for us
I leant my sister about £350 to go bankrupt

She was terrified and there were lots of tears because she was trying to deal with something she did'nt understand and she also has some learning difficulties.
Anyway I spoke to the Insolvency Service for her to explain how the debt was created and over what period of time and this seemed to help her case because she was declared bankrupt in April 2005 and was discharged from her bankruptcy in September 2006. Now I can tell you this much:
She is much more savvy about money
She has never been happier since she got rid of this ridiculous debt
And she will never borrow money again (unless in an emergency and then she will borrow from me).
I know that the Barclays Group have lost out but they were irresponsible lenders. They knew she was on benefits. And also my grandma told me 'you should never lend what you cannot afford to give away'.

The moral of my story is: if you go bankrupt it is not the end of the world, just learn from it.

delboypass

cindiedunkley wrote:

Hi SimplyBroke

My sister, who has been on benefits all her life .

Story of the UK.
People sit around on Benefits all their life whilst the rest of the UK goes out to work to support them.
The others struggle to get by and because GOrdon Brown makes up figures such as CPI we require credit cards to get by in our every day lifes and end up in hundreds of thousands of pounds of debt.

The Government is to blame for both these scenarios of people becoming dependant on benefits as a lifestyle choice and cheap credit which has destroyed the UK.

So much for no more boom and bust - thanks Gordon. Wont see you in No.10 soon anyway!

lynzpower

Delboypass.

Cindy reports her sister has learning difficulties. You have been rtremendously offensive, and Ive reported you to abuse.

If you have nothing nice to say, go elsewhere, thank you.

Zammo

lynzpower wrote:

Delboypass.

Cindy reports her sister has learning difficulties. You have been rtremendously offensive, and Ive reported you to abuse.

If you have nothing nice to say, go elsewhere, thank you.

Oh come on, he was hardly tremendously offensive. I find the fact that someone can get 70k in debt and walk away from it more disturbing. Wouldn't you agree that if people were made to face up to the consequences of their actions then the number of people getting into this sort of situation would be dramatically reduced?