Spend, Spend, Spend

obeywan_kenobe

Tell you what I am going to do!!!

I an going to ignore all of Marins advice and spend a load on credit cards and personal loans until I am in debt up to my eyeballs(and beyond).Then I go to court with a sympathetic judge and he wipes it out.

Easy Peasy!!!!!!!!!! ???

loadsacash

If you are talking about those people in the news the other day, they paid the loan company £25,000 for a £7,000 loan so I don't think they have got away with much!

obeywan_kenobe

I thought it was a more like £385,000 with an initial loan of £5000 taken out in 1989. They constantly spent beyond their means, adding to the loan rather than paying it off.
Now they are selling their story to the daily mail for a chunk of cash plus they say that they havnt learnt any lessons. They will carry on borrowing. ???

But I'm not bitter!!!

Spendless

I didn't think they had added to the initial loan I thought it had grown due to late or missed payments and interest going on interest.

A similar thing happened to friends of mine - though they paid the loan off- I think it cost about £10,000 to pay off a loan of £3,000 and took about 8 years.

rushnowt

yes i'm sure your right Spendless, after seeing the story in the news i beleive that it was just an initial loan of £5000 they took out but with difficulties in paying and the 35.odd % interest they were being charged as well as late payment charges it just got out of control. A £5000 loan is not a huge amount by many peoples standards these days however paying it off over 15 years was a hefty thing to take on with such an exessive interest rate. some loan providers just take the p*** and dont really care whether you can afford to pay it or not at least this may deter them from trying to rip us off in future.

MarkyMarkD

some loan providers just take the p*** and dont really care whether you can afford to pay it or not at least this may deter them from trying to rip us off in future.

I don't think that's what it proves at all. The lenders were quite right to assess these borrowers as hopeless and to charge them a high rate accordingly. They didn't make payments for years; they didn't take their debt seriously, and they haven't learnt anything from their disastrous mismanagement.

paulcdb

while there's people that don't pay attention to what they sign up to there'll be people to rip them off...

just seems to be the society we live in where people don't take responsability for what they do, someone in our family's just as bad... thinks just because a company offers them credit, it's ok to take it even if they can't afford to repay it >:(

Doesn't take much to keep your finances in check ::)

Spendless

I don't think that's what it proves at all.  The lenders were quite right to assess these borrowers as hopeless and to charge them a high rate accordingly.  They didn't make payments for years; they didn't take their debt seriously, and they haven't learnt anything from their disastrous mismanagement.

£385,00 to pay back £5,000 even taking into account late and missed payments seems ridiculously high to me.

loadsacash

What really bothers me is that we have cable fv and it is non stop adverts for loans and consolidating debts - to home owners of course.

They do make it look so easy and I am sure that the couple involved felt when the loan was taken out that the repayment was not much every month - but when pople change jobs - like happend in this case, it is hard.

Spendless

That is so true loadsacash.

my own little boy who is 4 said to me one day - mummy do you have a debt problem? cos one phone call could change your life!!!!

rushnowt

PMSL ;D ;D ;D I'm sorry i know i shouldn't laugh but don't kids just say the funniest things