Debts and blame

[milly143]

Why is it that when people are in debt, they always blame the credit card/loan company? Twice today I have heard people moaning about how its the banks fault because they shouldnt have given them the card or another companies fault because they applied for credit they couldn't afford, and got it. Are these people stupid enough to think that this money is free! I'm no angel, I have some debt but I am entirely aware of the fact that it is down to the fact that I spent too much money that I didnt have. Sorry for the moan but I am totally sick of everyone seeing themselves as some sort of victim. Its pathetic.

[Oneeyedvic]

This is a real pet hate of mine too - though I may be biased as I work in the industry.

But then, it's not just in money - we're (and I mean most of Britain) is really into the Blame culture - "If there's a blame then there's a claim"

[Loosehead]

Totally agree milly, it's all too common these days to blame anyone but themselves for debt. It also infuriates me when they try and use bankruptcy or other tricks to welsh on paying their debts, totally dishonerable.What's fascinating though, is that they have usually got nothing  significant to show for being n thousand in debt, weird!

[AliFlump]

I Agree, i saw one programme about a family with 2 kids where they had 2 brand new cars a 4 bed detatched house and a new caravan yet there out going was more than their incoming!!

How stupid can you get!!

[Peahead66]

Totally agree. Somebody a friend of mine knows had loans, credit cards, catalogues, you name it and racked up �35,000 debt on holidays, clothes, expensive furniture, new laptop and goodness knows what else and they are about to wipe the whole lot out with the new bankruptcy laws. Thing is apparantly she wont have to pay a penny back because she has no property and her income isnt high enough and so the CAB told her to go bankrupt. Makes you wonder though what on earth the banks were thinking when they lent this much money to someone who obviously shouldnt have had it. Mind you in America the laws are changing (is it October) and people wont be able to declare bankruptcy (Chapter 7) anymore and will have to enter into a repayment plan (Chapter 13?) so no doubt that will happen over here in time. Not judging anyone who is in debt BTW because I have plenty from my student days and student loans cant be wiped out with the new laws.

[ursula62]

While I agree broadly with the sentiments expressed above, we must remember not to judge too harshly. Not everyone who is in debt has acted irresponsibly. Some people have debts left to them after the breakup of a marriage or a business partnership has gone wrong, or even following the death of a parent.  Then there are those who run up these debts and then disappear leaving their loved ones to pick up the pieces.

[stevie21]

milly, you are obviously a genius. I totally agree - I get easily annoyed by the whole blame culture whether it's related to money or anything else.

Well said :-D

[Eels]

I tend to agree - my sympathy is limited for those who apply a head-in-the-sand method to their financial matters.  Personally, I owe a five-figure amount to the student loans company and a four figure sum to the bank (hefty student overdraft) but this is well on the way to being paid off thanks to some self-control in my first year of work.  I have also managed 24 years of my life without a credit card (so I fail to see why I would need one now).  I have even (very proud of this bit) started two small savings plans which will hopefully snowball in time.  So if someone in my sort of negative equity can do it, I don't think many people have a good excuse for wild debts!

[Harley]

I helped a friend with serious debt problems who had to give up his house as he had so many loans. As soon as  was he in rented accomodation he booked a foreign holiday as his debt repayments had been suspended !

[lozzzz]

Last year I had to give up work to become a full time carer,I get �45 a week,this is the only money that goes into my bank,and yet I frequently get offers from them for loans which they claim are ready and authorised for the taking,I'm sure if I was stupid enough to take up these offers I'd get them..

[metagirl]

the reason why people complain is because banks and other lenders charge unfair APR and interest rates on their products.

I worked at a credit union where we ensured that our members could afford a loan before we gave them one. This is called "responsible" lending. Most commercial banks do not practice this, hence the ensuing aggravation.

Also, hidden fees or fees that are ridiculously over marked do not make people happy. Again, at my credit union, our fees were fair and not a burden to our members.

And unfortunately, in our world today, we need credit. And more unfortunately, lenders/banks capitalise on this knowledge and screw us at any available oppty.

[Oneeyedvic]

metagirl "we need credit"

actually no, most people don't. They want credit which is something completely different. Most people want a newer car, a plasma tv, a nice holiday etc etc.

People only need food, clothing and shelter. If people want more, they should earn it, not demand it and apply for credit they can't afford.

I would agree however that there is a lot of irresponsible lending by banks and institutions - however, surely it is irresponsible to take out a loan if you know you can't afford it, and irresponsible to take out a loan without reading the terms and conditions.

[milly143]

Thanks for your answers - so glad I am not the only one who thinks its all a bunch of tosh! Lenders are irresponsible to a degree but what are they supposed to do, check every single of one of every applicants regular outgoings. Anyway, thanks again.

Oh, stevie21- Yes I am a genius! (in my own very little world).

[metagirl]

hi oneeyedic -

the last i heard, most people do not have 100K sitting in their accounts waiting to be used to buy a house. Ditto to a University Education, a car, a refrigerator and most household appliances save the plasma TV and sophisticated hi-fi systems.

the only people I know who have the choice to take on credit are rich people. And, surprisingly, when they do decide to do so , they get the best rates.

Lets stop defending those that would gladly rip us off and then kick us when we're down.

The money-makers know whose side they're on, and for the life of me I can't understand why normal people can't stand together to demand the treatment and service they deserve.

[Oneeyedvic]

People do not need cars that travel at 155 mph and have a 0-60mph of under 10 seconds.

Sorry, but in my job you see the worst of people. I have a proposal on my desk for a person who wants to buy a 4 year old BMW M3 costing �21,000. He has arrears on most of his payments, he has 3 county court judgements but he still has a �8,000 deposit and wants to drive an expensive car.

This is not unusual - I generally see around one of these a week. Seeing people's credit commitments really puts in perspective. They get annoyed when you can't get them a loan when they must know that they haven't even bothered keeping up there current agreements.

Look at the price of TVs (which by the way are luxuries - hardly essentials) A second hand tv costs around �50 - I could get you one second hand in perfect working order with all the facilities you need for �20. If you go into an average home, you will see it is a widescreen tv with Nicam stereo. Of course there will also be dvd player, a few dvds, a nice stereo etc.

And of course, cigarettes, alcohol and going out for meals are essentials to.

I'm not saying that people should stay at home in a bare house, but what I am saying is that people do not live within their means - and then blame other people.

If you work for a credit union, I suggest you visit one of your clients houses - see what is in there and then tell me that they don't squander money!

i would also say that if you want a loan, know what the payments are - you are not being ripped off. People seem to think that if you go overdraawn and get charged �25.00 it is a rip off. Why can't people keep with in their limits. Sorry, but there is no one to blame but themselves.

[librarylady]

has nobody ever been seriously ill, or been fired, not long after they took out a loan? Has no-one ever had problems holding down a job? If you are not good at budgeting and have friends that are much wealthier, its horrible having to say no I cannot afford it each time. I still have credit blacklist from a serious bout of depression in 1997, I struggled on for two years with part time income then had to admit defeat. Have some sympathy for lesser mortals please, we can't all be sensible, especially when you have mental health problems!