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Daft Boy

Nine Million In 'serious' Debt Across The Uk

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http://www.bbc.co.uk/news/business-25108891

I was speaking the other day to someone who works at the local CAB . She reckons the debt problem is out of control at the moment. I did download the CAB application form around five years ago for the position of an advisor. Perhaps now is the right time for me to get off my comfortable backside and give some assistance to the community.

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http://www.bbc.co.uk/news/business-25108891

I was speaking the other day to someone who works at the local CAB . She reckons the debt problem is out of control at the moment. I did download the CAB application form around five years ago for the position of an advisor. Perhaps now is the right time for me to get off my comfortable backside and give some assistance to the community.

I remember stories of people with 6 figure sums on credit cards before the crash..

I'm sure it wouldn't take a lot of examining Credit reference agency records to work out the true picture. Flat wages, escalating living costs and very easy credit (until you miss a payment)..

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I remember stories of people with 6 figure sums on credit cards before the crash..

I'm sure it wouldn't take a lot of examining Credit reference agency records to work out the true picture. Flat wages, escalating living costs and very easy credit (until you miss a payment)..

I suppose if I also mentioned smoking, drinking and a family present fest, some smart lefty would say you really haven't got a clue have you. Well having bailed out two family members in the last three years who actually earn infinitely more than me....and yep they both smoke, drink, but most particularly have this stupid propensity to blow thousands of pounds on presents for their grandkids (they are women) . I probably do have a bit of a clue where this money is being flushed and yep I can forget about being repaid.

Edited by crashmonitor

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I got a few credit cards. When the interest free period is up on them and I can't transfer the balances to other interest free deals, I'm going to be well angry.

Are you a "hard working family?"

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http://www.bbc.co.uk/news/business-25108891

I was speaking the other day to someone who works at the local CAB . She reckons the debt problem is out of control at the moment. I did download the CAB application form around five years ago for the position of an advisor. Perhaps now is the right time for me to get off my comfortable backside and give some assistance to the community.

Does that include the idiots who are renting their houses off the banksters using an IO mortgage ?

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Can you buy a big red button to put on your desk that says "FOOL" very loudly when you press it?

This should do you:

http://www.amazon.co.uk/Mr-T-in-your-Pocket/dp/B00026ZFIY

Press button one when confronted by an indebted idiot.

Press button six when confronted by a BTLer.

Button's 2 to 5 for an E.A.

51VESVZATYL._SX342_.jpg

Edited by TheCountOfNowhere

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Love the case study about a loan for a couple of grand. No mention of telephone-number mortgage debt?

It's a bit like the Jet Engine.

Jet engines used to be small narrow things that ran at high speed and pumped out a lot of air. Now, jet engines are huge wide things that run at lower rates but shift the same amount of air, just slower.

Different approach, same effect. Thurst....where as with the money lenders the effect is....bend over then, THRUST.

Edited by TheCountOfNowhere

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It's a bit like the Jet Engine.

Jet engines used to be small narrow things that ran at high speed and pumped out a lot of air. Now, jet engines are now huge wide things that run at lower rates but shift the same amount of air just slower.

Different approach, same effect. Thurst....where as the lender the effect is....bend over then THRUST.

Good analogy. And the engineers behind either type are trying to make their approach ever more extreme, in the case of debts anyway.

Edited by The B.L.T.

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"Millions of people could escape their spiral of debt by accessing free advice," said Caroline Rookes, the chief executive of MAS."

B*****ks! Advice isn't going to pay their debts. Rather it will just perpetuate the idea, to many, that it is essential they keep paying in one way or another.

I am sick of seeing people destroy their lives even more than has already been done, in the vain belief that if they somehow keep trying to pay what they couldn't pay in the first place, that all will be right in the end. Millions could escape their 'spiral' by simply recognising the futility of trying to pay the unpayable - and simply stop paying! PERIOD.

Many of these debtors have nothing to be taken from them. It baffles me why they allow themselves to be fooled into thinking that if they try really hard and continue to 'play the game' by the 'system' rules. Being persuaded into entering into one form of debt restructuring or another, in a vain attempt to pay off what they couldn't pay, let alone save for, in the first place - just in the promise that they will still be able to borrow in the future again.

These people need to just walk away from the debts. Stop playing the game by the lenders rules. Provided they learn from their mistakes, they can rebuild their lives.

It takes two to tango. Lenders and Borrowers. I've said this here before and will continue to say to till my tongue bleeds. The only way to bring sanity back to credit markets is to make lenders more fearful and revert back to common sense lending standards - rather than lend to anyone with a pulse!

I'll wager many of these people borrowed for things they 'wanted' rather than genuinely 'needed' - but have been brainwashed into believing it is part of their human rights to have the same trinkets and baubles as the next person. Old fashioned virtues of making a real personal effort to attain it (i.e. saving) being long forgotten.

Credit will become scarcer and more expensive and that, overall, will help keep in check the relentless rise of everything whose price is driven by credit - all the way up to housing.

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I suppose if I also mentioned smoking, drinking and a family present fest, some smart lefty would say you really haven't got a clue have you. Well having bailed out two family members in the last three years who actually earn infinitely more than me....and yep they both smoke, drink, but most particularly have this stupid propensity to blow thousands of pounds on presents for their grandkids (they are women) . I probably do have a bit of a clue where this money is being flushed and yep I can forget about being repaid.

Been there, done that.

Some people do not understand the word 'Frugality'

Student days can really teach this. Bought a big guitar amplifier and lived the rest of the term on water and beans on toast.

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Could not agree more. I would advise bankruptcy in most cases. It will help to drive the message home to lenders.

" I am sick of seeing people destroy their lives even more than has already been done, in the vain belief that if they somehow keep trying to pay what they couldn't pay in the first place, that all will be right in the end. Millions could escape their 'spiral' by simply recognising the futility of trying to pay the unpayable - and simply stop paying! PERIOD.

Many of these debtors have nothing to be taken from them. It baffles me why they allow themselves to be fooled into thinking that if they try really hard and continue to 'play the game' by the 'system' rules. Being persuaded into entering into one form of debt restructuring or another, in a vain attempt to pay off what they couldn't pay, let alone save for, in the first place - just in the promise that they will still be able to borrow in the future again.

These people need to just walk away from the debts. Stop playing the game by the lenders rules. Provided they learn from their mistakes, they can rebuild their lives.

It takes two to tango. Lenders and Borrowers. I've said this here before and will continue to say to till my tongue bleeds. The only way to bring sanity back to credit markets is to make lenders more fearful and revert back to common sense lending standards - rather than lend to anyone with a pulse!

I'll wager many of these people borrowed for things they 'wanted' rather than genuinely 'needed' - but have been brainwashed into believing it is part of their human rights to have the same trinkets and baubles as the next person. Old fashioned virtues of making a real personal effort to attain it (i.e. saving) being long forgotten.

Credit will become scarcer and more expensive and that, overall, will help keep in check the relentless rise of everything whose price is driven by credit - all the way up to housing."

Edited by Daft Boy

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According to my d1ck of a brother, his 300k unaffordable mortgage problem my fault because err because it is

That's how it works

Edited by Si1

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Credit will become scarcer and more expensive and that, overall, will help keep in check the relentless rise of everything whose price is driven by credit - all the way up to housing.

Indeed this will happen over a long period of a decade or two, IMHO

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Indeed this will happen over a long period of a decade or two, IMHO

I just believe the process can be accelerated significantly if debtors go on strike and stick their fingers up at their creditors, rather than painfully slowly coming to the same inescapable conclusion that that is what they need to do.

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I just believe the process can be accelerated significantly if debtors go on strike and stick their fingers up at their creditors, rather than painfully slowly coming to the same inescapable conclusion that that is what they need to do.

I'm not sure bankruptcy is that easy

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Could not agree more. I would advise bankruptcy in most cases. It will help to drive the message home to lenders.

I'm not even advocating formal bankruptcy. In many cases it is just another waste of time and money. The ridiculousness of needing several hundred pounds up front to initiate the process. That plus the punitive restriction placed on ones life for X years thereafter.

F**k Em! Until such time as debtors prisons are reintroduced......JUST WALK AWAY YOU MUPPETS!

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http://www.bbc.co.uk/news/business-25108891

I was speaking the other day to someone who works at the local CAB . She reckons the debt problem is out of control at the moment. I did download the CAB application form around five years ago for the position of an advisor. Perhaps now is the right time for me to get off my comfortable backside and give some assistance to the community.

At various times I have vaguely wondered about doing things like being a CAB advisor, mentoring, Samaritans, become a magistrate etc. Then when I've looked at the bumph, the sheer volume of PC hoops to jump through to ensure you have the 'right' views have always put me off.

If I were a counsellor, I would be like this one:

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Extracts from paper [my comments in brackets]

Across the UK approximately 8.8 million people are over-indebted. These are

individuals who have been at least three months behind with their bills in the last

six months or have said that they feel their debts are a heavy burden.

[indebted definition excludes housing costs. The paper is 44 pages and concerns characteristics of the indebted and their debt yet it does not once mention difficulties with meeting housing cost (buying and renting)]

Looking at the over-indebted population as a whole [the 8.8 million], the research reveals that the

majority is of working age with 58% in work and 48% living in privately-owned homes.

Half have a household income of less than £20,000 per annum, and women are

over-represented, accounting for 64% of the whole. The age profile of people struggling

with their debt peaks between the ages of 35–44, with people in this age band making

up 32% of the overall group; however, it drops significantly as people reach the age of

55 and above.

Quotes from respondents:

“I would prefer to have luxuries and treats than be debt free”

“I would be willing to take on new credit commitment to pay off my debts”

Different groups – different needs

The research defined eight distinct sub-groups, or segments, within the whole of the

over-indebted population. These are listed below:

1 Struggling students 1m 11.3%

2 First time workers 0.9m 9.8%

3 Optimistic young workers 1.1m 12.5%

4 Low wage families 0.8m 9.3%

5 Stretched families 1.4m 16.3%

6 Worried working families 1.7m 19.4%

7 Benefit dependent families 1.8m 20.2%

8 Uncomfortable retirees 0.1m 1.1%

[The paper does not specify how these groups were identified. Were they identified statistically? E.g. by Factor Analysis or was this grouping imposed on the data based on preconception? It’s probably the latter. A major factor would be housing cost – are they in negative equity, behind in mortgage repayments, own their home?]

Demographics:

Age

18-24 21%

25-34 22%

35-44 32%

45-54 21%

55-64 3%

65+ 1%

Gender

Male 35%

Female 64%

HH Income

£0 - £14,999 33%

£15,000 - £19,999 17%

£20,000 - £29,999 18%

£30,000 - £39,999 12%

£40,000 - £49,999 7%

£50,000 - £59,999 3%

£60,000 - £69,999 2%

£70,000 - £99,999 2%

£100,000 - £149,999 1%

£150,000+ 1%

[breakdowns of demographics by level of debt would have been informative]

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