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Banks Forced To Write Off £40M A Day In Family Debt

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http://www.dailymail.co.uk/news/article-1307853/Banks-forced-write-40m-day-family-debt.html

Cash-strapped families are being overwhelmed by debts they can never afford to repay, figures revealed yesterday.

Between April and June banks and building societies were forced to 'write off ' £3.5billion, around £40million every day, the largest amount since records began.

The alarming Bank of England figures highlight the nightmare facing millions who borrowed money before the credit crunch to fund a lifestyle they could not afford.

The largest chunk of write-offs - a record £2.1billion - was credit card debt, with many spending more on the High Street in a day than they earn in a month.

A further £1.2billion came from overdrafts, personal loans and hire purchase agreements. Just £184million was from 'bad' mortgages.

Before the credit crunch struck in 2007 the bill for write-offs, where lenders accept they will never be repayed, came to just £1.9billion

Yesterday debt experts insisted the figures prove that although the recession is over, its impact is only now emerging as unemployment rises and pay remains frozen.

Mark Sands, director of personal insolvency at the accountants RSM Tenon, said: 'We are seeing the impact of the downturn really starting to hit now.

'It is not necessarily that people have lost their job, but they have lost their overtime, an extra shift or have had a pay cut.

'They can survive for a while, but suddenly they are tipped over the edge and they cannot cope with their debts.'

Borrowing money which you can only afford with your overtime which of course isn't guaranteed.

People living it up with money they didn't have and yet someone our policy leaders think they can make up for this fall in demand.

The past decade was "abnormal" we are now heading back to normality.

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"Just £184million was from 'bad' mortgages"

looks like the "Help" to 350,000 mortgage unpayers is "helping" someone other than the homeowners..course, this HASNT helped FTBS, who are still priced out.

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Is that families trying to live the dream wag lifestyle like these?

http://www.thesun.co...n-85k-debt.html

"Josie is single and started spending heavily three years ago after the failure of a long-term relationship."

Must be one of the luckiest blokes alive - if he saw the brainwashed 'Shopping Mall' addictions!

What was one of the expressions Big Business coined to encourage reckless wimins spending "Retail Therapy"

The brainwashing continues (especially for Waggish-chics) >

Book your return journey Shopping Express ticket to the Chic Outlet 'Shopping' Villages

https://www.chicoutletshopping.com/en_GB/travel-industry/shopping-express

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http://www.dailymail.co.uk/news/article-1307853/Banks-forced-write-40m-day-family-debt.html

Borrowing money which you can only afford with your overtime which of course isn't guaranteed.

People living it up with money they didn't have and yet someone our policy leaders think they can make up for this fall in demand.

The past decade was "abnormal" we are now heading back to normality.

When their debt is written off do they still get to live in their houses and keep their flatscreens / cars and continue as if nothing ever happened. I'm sorry but it needs to be rammed into my head - can anyone just go out right now and buy a million pound property and fill it with bling and never have to pay for any of it because the 'debt gets written off? Having NEVER had any debt I am starting to feel like a fool.

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http://www.dailymail.co.uk/news/article-1307853/Banks-forced-write-40m-day-family-debt.html

Borrowing money which you can only afford with your overtime which of course isn't guaranteed.

The people who have managed to keep their jobs are getting huge amounts of overtime as the staff who have left havn't been replaced. They'd rather give me 2 or 3 hours a day at double time than take on another memeber of staff. Last year i earnt more than i have ever done before , all through getting loads of overtime.

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The people who have managed to keep their jobs are getting huge amounts of overtime as the staff who have left havn't been replaced. They'd rather give me 2 or 3 hours a day at double time than take on another memeber of staff. Last year i earnt more than i have ever done before , all through getting loads of overtime.

Weird. It's probably costing them even more than before for Job X to get done. :rolleyes:

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The people who have managed to keep their jobs are getting huge amounts of overtime as the staff who have left havn't been replaced. They'd rather give me 2 or 3 hours a day at double time than take on another memeber of staff. Last year i earnt more than i have ever done before , all through getting loads of overtime.

Weird. It's probably costing them even more than before for Job X to get done. :rolleyes:

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Families have inflated expectations about their 'needs'. Having a brief conversation with a mate the other day, who has 2 kids and he's on the dole, missus works 18 hours/week, he spends £80 on two phones between them, £40 on credit cards, £40 on a business loan (wtf? he doesn't have a business), £500 on food ... and he was just off on a 500 mile round trip (2nd time in a month) to visit their family/mates and go out on the town and clubbing for 4 days. They're now trying to decide on some new sofas at £1500.

Years ago, the people I knew on the dole were eating cheap mince meals, watching a telly that was probably from the tip, sitting on 2nd hand furniture and wearing hand me downs.

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Families have inflated expectations about their 'needs'. Having a brief conversation with a mate the other day, who has 2 kids and he's on the dole, missus works 18 hours/week, he spends £80 on two phones between them, £40 on credit cards, £40 on a business loan (wtf? he doesn't have a business), £500 on food ... and he was just off on a 500 mile round trip (2nd time in a month) to visit their family/mates and go out on the town and clubbing for 4 days. They're now trying to decide on some new sofas at £1500.

Years ago, the people I knew on the dole were eating cheap mince meals, watching a telly that was probably from the tip, sitting on 2nd hand furniture and wearing hand me downs.

Haha, so true.

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Is that families trying to live the dream wag lifestyle like these?

http://www.thesun.co...n-85k-debt.html

£1700 for a handbag.  Blimey, I'd spend that on a bed or sofa (ie something substantial and useful), but a handbag?

Apparently she felt like she was being treated like a celebrity by the shop assistant when she bought it, and really enjoyed spending more than her months salary on one item.  

Personally I think the shop assistant was treating her like an idiot who needed humouring to encourage her to part with her money,

Edited by Mikhail Liebenstein

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Whilst that girl in the article is obviously a complete tw@t I personally dont have a problem with people who genuinely get in to difficulty from having their debts wiped out. At least they are giving the banks a taste of their own medicine.

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Between April and June banks and building societies were forced to 'write off ' £3.5billion, around £40million every day, the largest amount since records began.

And yet there's no rise in reposessions :angry:

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And yet there's no rise in reposessions :angry:

1000 a week not enough for you?

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Families have inflated expectations about their 'needs'. Having a brief conversation with a mate the other day, who has 2 kids and he's on the dole, missus works 18 hours/week, he spends £80 on two phones between them, £40 on credit cards, £40 on a business loan (wtf? he doesn't have a business), £500 on food ... and he was just off on a 500 mile round trip (2nd time in a month) to visit their family/mates and go out on the town and clubbing for 4 days. They're now trying to decide on some new sofas at £1500.

Years ago, the people I knew on the dole were eating cheap mince meals, watching a telly that was probably from the tip, sitting on 2nd hand furniture and wearing hand me downs.

does he not read the news? has he no conception of what is in the pipeline over the coming years for people on the dole?

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Whilst that girl in the article is obviously a complete tw@t I personally dont have a problem with people who genuinely get in to difficulty from having their debts wiped out. At least they are giving the banks a taste of their own medicine.

Who do you think pays for the written off debt? The shareholders will shoulder some of the losses (as they have already) but how do you think the banks rebuild their balance sheets?

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can anyone just go out right now and buy a million pound property and fill it with bling and never have to pay for any of it because the 'debt gets written off? Having NEVER had any debt I am starting to feel like a fool.

Friend of mine ran up big credit card bills, stopped paying, ignored all the demands and now the debt has been sold on. The new company is prepared to take 20% of the outstanding amount to settle the debt.

So basically, he has been buying everything at 80% off!

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No :)

Every year I run up debts on credit cards and then default.

I consider it my very own bankers' bonus, which I deserve. :D

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Years ago, the people I knew on the dole were eating cheap mince meals, watching a telly that was probably from the tip, sitting on 2nd hand furniture and wearing hand me downs.

These days it's graduates who are living like this.

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Friend of mine ran up big credit card bills, stopped paying, ignored all the demands and now the debt has been sold on. The new company is prepared to take 20% of the outstanding amount to settle the debt.

So basically, he has been buying everything at 80% off!

Blimey, which credit card company is this?

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  • 140 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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