Loans
OK, this has been sitting in my inbox for a while (well, an email with the url in it has) because I was just gobsmacked at how utterly stupid some people were. Let me give you the gist of the story: Low paid person gets into debt, can’t make the repayments, gets a consolidation loan, doesn’t pay the original debt, now left with more. And this isn’t a one of isolated case either, it’s 26% of people getting consolidation loans. How stupid are these people, and how stupid are the organisations lending to them? Hello?! The financial sector has just lost an absolute butt load of money (billions of dollars) doing something silly with lending money to poor people so they could buy houses and not pay the money back.
Everyone involved in this sorry mess is on my list. That’s the idiots borrowing more money to not pay off th old debt and the morons lending to them in the first place. The people involved in advertising the consolidation loans are on a special list reserved for pedophiles and people who stand on the left on escalators.
and Pig wants to buy me out!!!!!!?????
Actually I am feeling mean and will let him!
Grrrrr
You might, but the mortgage companies may have a different take on that.
I can see where you are coming from. It would be cheaper to pay off the loans yourself instead of consolidating the loans and paying a higher interest - which in turn takes them longer to pay off.
But some people are silly. They need someone to whack all the loans together and tell them how much to pay and when. If it helps them - then why not.
It’s more the fact that if they can’t afford the origonal loans how on earth do they think they’re going to afford the origonal loands and a consolidation loan. And I thought I was bad with money.
A lot of these people are in desperate straights (through their own fault I concur), and are under so much pressure that they arent thinking rationally (loss of sleep panicking about all the money they owe). They arlso probably need more money to pay for the things they cant afford because they’re paying all the interest, fixing their knackered car for example, so they think they’ll use the consolidated loan to pay off some of the existing credit and the rest to pay off other things. Normally I’m against government regulation but I tink there should be protection for vulnerable people, such as those who have dug themselves into a horrid hole. There are a number of alternatives such as voluntary credit agreements before bakruptcy which could do with equal advertisement and/or required advice before entering into a consolidation loan. And Carol Vorderman should be shot (on general principles).
Weirdly, because I dont (yet) have credit problems, and my address is entirely new so I cant have inherited the bad rep, I’ve occasionally recieved pre-approved invites for new credit cards specifically targetted at people with poor credit records. These usually offer a credit limit of 500 quid and an interest rate of 39.9%, which really should be criminal.
I think the idea is they pay a smaller amount per month than they are paying now. But as you say it takes longer to pay off. bit like a mortgage really - bit scary interest
I’m not on their side - don’t get me wrong. But if seems to help some people. Seriously though if someone can’t work out that 39% APR is a shed load of interest to pay may they shouldn’t be allowed credit
or animals - or children.
I agree there should be some legislation though. It’s obvious to see that something needs to be done to stop people getting into this amount of trouble.
I just get hand delivered flyers telling me I could have a spray on lawn, ironic given I live in a flat.
It would seem many people are too stupid to be allowed to handle credit transactions. Unfortunately it would also seem that a number of them worked as traders at my current employer. No matter how much you fuck up in your life you’d struggle to spank away $30Bn….
Maybe we should apply for a consolidation loan, or did we just do that with the options issue?