23K 'wiped-off' in 6 months...drastic but quick way to get rid of debt

ceegee

Why the heck don't people just live within their means? I, and I am sure many others here, have been doing this for years, if not decades.I am on a total income of around £11,000 p.a.(before tax and NI) and have a mortgage and two teenage daughters to support. I could only start affording a car about 7 years ago, in my early 40s. It really pees me off when people run up these debts through stupidity. And to see bankruptcy as a lifestyle option............

..............well, the words "moral bankruptcy" spring to mind.




EDIT.....this was a general comment which crossed with newfunk's post. It was not written apropos newfunk's post.

ceegee

May I take this opportunity to say, as I have several times in the past, that I genuinely have every sympathy for people who are forced into bankruptcy for reasons beyond their control (eg business failure etc). To have to face bankruptcy on top of the reason that caused it must be devastating.

My gripe is with the b....y idiots who just go out and spend, spend, spend way beyond their means.....and I do know a few!

loobyloo1980

itsbeef wrote:

Not sure about others but I'm stuck as to which side to take on this one...

I see it like this...........

If someone accumulates debts through forced matters such as:

Looking after family
Taking on family home after seperation
Businees partners doing a runner etc etc

I can understand going through the bankruptcy system to clear debts.

However if these debts are accumulated through:

Over the top lifestyle
Luxuries
Inappropriate investments
Pure & Simple poor financial management

then paying the debt off is the only honest way of facing up to the responsibility of it.

Surely there is a knock on effect with the increrasing number of people going bankrupt?

Are innocent people paying the price for all these debts??

I agree, and I place myself in the 2nd category mainly, although partially in the first as well, as my debts were built up through a variety of factors. Relationship breakdown and child support being just one of the factors. BUT I was foolish not to pay my debts in full when I sold my house and got £6k cash. I blew it living it up after my relationship breakdown. I am paying the price now, but intend to repay every penny of debt whilst supporting my kids.

jazzyjustlaw

newfunk wrote:

So can I take it that You assume, that I went on a spending spree and then went bankrupt? Cuz if u are assuming everyone does thatm then u are very very narrow minded!!

I had the guts to go to the bank, and borrow £250,000 to buy a business, nobody helped me, i did this off my own back, I put everything I had up for it!
I had 2 kids of school age, and did it as I believed I could give them a helping hand in their future, which most parents want to be able to do.

After 3 years, My wife went off with a mate of mine, just walked out of the business, was supposed to be paying bills, when all she did was mark them paid, when they had'nt been paid....She threatened to kill me in front of the kids, by this time we had another one! She put a knife to my throat. I moved out of MY home, which I paid for, with MY money! Had to move back to my parents....

She then went bankrupt for £14k..leaving me with every single debt to pay..I had a nervous breakdown, anti depressants and attempted suicide!! I had at the time debts totalling £350,000 My house was sold, and the business premises. Barclays wrote off 70k....I treid my best to get everyone to take an offer of payment, at which time I was not working!! I had no option but bankruptcy> I didnt want to, I held out for ages in the hope I could get them to see sense, but they just didnt listen.....

So I suggest You do not tar everyone with the same brush, there aint a day goes by that I dont wish things had been different. But at least I had the guts to try, to try and make a better future for me and my kids....How many actually try???

But hey some of you are so damn perfect aint ya!!

I think what you went through was terrible. I dont think it is people like you that some posters are getting annoyed at conversely I think its people like you they are trying to defend.

CTT_2

newfunk wrote:

So can I take it that You assume, that I went on a spending spree and then went bankrupt? Cuz if u are assuming everyone does thatm then u are very very narrow minded!!

I had the guts to go to the bank, and borrow £250,000 to buy a business, nobody helped me, i did this off my own back, I put everything I had up for it!
I had 2 kids of school age, and did it as I believed I could give them a helping hand in their future, which most parents want to be able to do.

After 3 years, My wife went off with a mate of mine, just walked out of the business, was supposed to be paying bills, when all she did was mark them paid, when they had'nt been paid....She threatened to kill me in front of the kids, by this time we had another one! She put a knife to my throat. I moved out of MY home, which I paid for, with MY money! Had to move back to my parents....

She then went bankrupt for £14k..leaving me with every single debt to pay..I had a nervous breakdown, anti depressants and attempted suicide!! I had at the time debts totalling £350,000 My house was sold, and the business premises. Barclays wrote off 70k....I treid my best to get everyone to take an offer of payment, at which time I was not working!! I had no option but bankruptcy> I didnt want to, I held out for ages in the hope I could get them to see sense, but they just didnt listen.....

So I suggest You do not tar everyone with the same brush, there aint a day goes by that I dont wish things had been different. But at least I had the guts to try, to try and make a better future for me and my kids....How many actually try???

But hey some of you are so damn perfect aint ya!!

As I have said before I have every sympathy with people who get into financial difficulties due to no fault of there own (like yourself) but when someone acts irresponsibly with no thought of the consequences and decides to go bankupt then they deserve everything they get.

When I was made redundant 25 years ago with debts of £5k I faced up to my responsibilities and paid the debt off in 2 years. So I am far from perfect.

loobyloo1980

Newfunk, you mentioned before that part of your debt was business related and not all down to personal overspending. I have to say that in the circumstances you have outlined, then I do not think that you were wrong for declaring yourself bankrupt.

IF I were currently a single parent struggling to raise my kids on my own after relationship breakdown, it would take me 10yrs+ to repay my debts, and I would consider bankruptcy a sensible option. BUT now I am happily married and we have a decent income, I feel obliged to pay it back.

I don't think anyone is complaining about your individual case, as to me it seems as though you took a logical and sensible solution.

BUT the OP's girlfriend is very young to have a massive amount of personal debt, with no kids or anything to support, and I think the main gripe is that if people like me with kids can muddle on paying debt back then she maybe should have attempted to pay back rather than go bankrupt. Bankruptcy is an option, and is there as a safety net for where there is literally no other way out. I believe there was no way out for you. I suppose it is only like the benefits argument - safety net or way of life? But that is a whole other ball game ......

newfunk

loobyloo1980 wrote:

Newfunk, you mentioned before that part of your debt was business related and not all down to personal overspending. QUOTE]

The only other debt I personally had was my Mortgage.36k..the rest was business!!

loobyloo1980

newfunk wrote:

loobyloo1980 wrote:

Newfunk, you mentioned before that part of your debt was business related and not all down to personal overspending. QUOTE]

The only other debt I personally had was my Mortgage.36k..the rest was business!!

well there you go then, so completely different to OP circumstances. Believe me, no one is trying to say you were wrong. I would have done the same in your circumstances and it is for circumstances like yours that bankruptcy needs to exist. Not for paying off reckless spending in the shopping centre or on flash cars and foreign holidays.

itsbeef

Loobyloo........

I hope it didnt sound like I was condemning anyone for choosing the bankruptcy route but it does seem to be getting easier to deal with debts this way.

I guess its all down to how someone wants to, and is capable of dealing with the stress and pressure of financial restraints.

No offence meant to anyone

loobyloo1980

itsbeef wrote:

Loobyloo........

I hope it didnt sound like I was condemning anyone for choosing the bankruptcy route but it does seem to be getting easier to deal with debts this way.

I guess its all down to how someone wants to, and is capable of dealing with the stress and pressure of financial restraints.

No offence meant to anyone

Hey, I'm not defending anyone. I completely agree with you. I think it is an easy option. I was just reassuring newfunk that in his circumstances with business debts etc of the amount he had I would have done the same and it is not people like him that I get annoyed about. Bankruptcy should always be the last resort and I do think that it is too easy an option snce they relaxed the rules.