# High Debts



## The1 (14 Dec 2008)

Hi guy's, I'd appreciate if some of you knowledgeable folks might be able to give me some advice/suggestions on my bad situation.

Basically I have a few debts and I just can't affort to pay them.

My situation was I started a job in the year 2000 and everything was great, a good wage and all the over-time you wanted. I'd often work 12 hour shifts all week and also do some hours on Sat and Sun too. So I had plenty of spare cash.

Things were going great and firstly I got a credit card, then I got a car loan, then a personl loan for car insurance and holidays ect...

My bills were being paid on time for years until in 2005 I/job were told we were being made redundant.
I was also with my partner at the time and she was collecting a weekly social welfare allowance, we had planned to get married in Sept 2005 and when we did, she lost her weekly allowance too. So as you can imagine we were down a lot of money.

I asked a certain bank if they could lower the €200 monthly payment until I got employment, and was told, "no way, you should have got insurance to cover you". I didnt' so that was that.
I also had a loan out with GE Capital Woodchester, I rang them and told them I HAD insurance with them and the details of my unemployment and they came back and said that the insurance didn't cover redundancy, only sickness. What a joke!

So on my weekly social welfare allowance we (wife & 3 kids) were barely surviving. Then the letters start coming in from all these places, which was very depressing.

I got many different types of letters in the post from soliciters.
Just a few days ago I got a final demand for €10,000 which I can't pay.

Currently I have seperate debts of roughly €10,000/€11,000/€5,000/€5,000.

One of the lenders actually sold one of the debts to a collection agency and they are currently hasseling me with tough talking letters and keep ringing me. I've also got nemerous solicetors letters too.
At this stage I've just started to bin the letters I was getting as I was getting so down worrying how to pay and what the  out come of my situation will be.

I just can't affort to pay these as were just getting by as we are now.
I understand I got the loans but when I asked these places to lower the monthy payback to €50 a month I was told no.

Assets wise I have nothing. I don't own a house as we live in a rented council house and I've no property worth any real money.

I havn't paid any of these bills or talked in person with these places in probably over 2-3 years but the letters keep coming and I still feel down most day's thinking of the debts I owe.

I'm not that well up on the law side of things but can any of you law savvy folks tell me what I can expect to happen to me out of all this ?

Cheers Guys


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## Guby (14 Dec 2008)

You need to get some support in trying to deal with this situation so contact the MABS Helpline at 1890 283438. Also log on to the MABS website at www.mabs.ie which will bring you through the process of dealing with your debts.  

good luck to you

Guby


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## PaddyBloggit (14 Dec 2008)

You should not be signing up for mobile phone bill pay with Meteor if you seriously want to get out of debt. Pay-as-you-go should have been the way to go. 

You also cannot ignore your debts by throwing the letters/demands for payment into the bin.


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## allthedoyles (14 Dec 2008)

You need to put all these loans into one big loan and you will probably find the repayment figure will be significantly less ...........MABS are now based in some local credit unions and will be very happy to help you.

Dont bin the letters ....it probably is more self satisfying to see them going into bin , but you may need them later.


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## Padraigb (15 Dec 2008)

Things are not as bad as you think. In terms of assets, you seem to have just about nothing, and you can't really go below that. 

I'm not being a smartass at your expense: they can't take you out and beat you up; they can't sling you into prison; they can't confiscate your wife and children.

Okay, you might have been reckless or unduly optimistic in the past and brought this bother on yourself. But in the present situation, *it is your creditors that have the problem*. Remember that, and try to lighten the burden of worry that is weighing so much on you.

I am not advocating that you walk away, and it is clear that you don't think that is a real option.

I endorse Guby's advice to involve MABS.


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## Bronte (15 Dec 2008)

If you're feeling down it might be a good idea to talk to your doctor and also to your wife.  The previous poster is right, if you have nothing they can probably do nothing to you.  Once they know you have no job or assets they will leave you be.  Do contact MABS who will help you end this situation, they will as far as I know talk to your creditors for you.


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## Rigoletto (15 Dec 2008)

Bronte said:


> If you're feeling down it might be a good idea to talk to your doctor and also to your wife. The previous poster is right, if you have nothing they can probably do nothing to you. Once they know you have no job or assets they will leave you be. Do contact MABS who will help you end this situation, they will as far as I know talk to your creditors for you.


 
this is good advice. yes you are in a lot of debt but its important not to let it destroy your health and/or your family. 

it will be both helpful and cathartic for you to visit mabs, if only to talk about this. but dont leave out your wife, as a couple you will deal with any problem easier than you bottling it up on your own. 

one note of caution: i doubt whether any institution will merely write off these debts. i dont see all of these debts being forgotten about because you have no assets. bancruptcy is a serious matter and having a destroyed credit rating is no small matter. it would be better if, with mabs, you could restructure your debt and come up with a plan (maybe a 15year plan) to get debt free. 

above all good luck, i wish you all the best.


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## Sunny (15 Dec 2008)

Some good advice there with regard to contacting MABS and not letting the situation get on top of you. I hope everything works out for you.

I have been reading a increasing number of stories like this recently. Surely it is now a matter of urgency that our personal bankruptcy laws are looked at and modernised. People should be able to get the protection of the Courts in situations like this as I can only imagine the stress of having various lenders and debt collectors chasing you for money.


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## SteveW9 (15 Dec 2008)

Why dont you get a job even if its on minimum wage???? 
Dunnes are hiring.
I'm not being smart you will earn over 100euro more a week than the dole


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## The1 (15 Dec 2008)

I'd like to say thanks to you guy's that supplied the useful information.

SteveW9, this was a problem for me as soon as I lost my job.... I was collecting €375 a week for myself, wife and kids, on the social welfare that's all. So I was offered a job for €420 a week and took it, and in the end it made circumstances worse as it actually cost more working due to petrol and lunches, not just for me but when I had the car, the wife would be using the bus for the kids schools ect... so I ended up jacking the job and it took a few months to get things back in shape. I'll try stay on topic but I'd just like to say also I think the social welfare way out of touch with some of it's payments. I worked since I was 16, only in 2005 when I had the rotten luck have I not worked full time again but last year when all the xmas bonus was being handed out I rang them and asked if I was entitled to it ? I was told no that only long term unemployed are entitled to it. I think it someone is made redundant or has lost their job, they should be the one's who get a little help, but it seems to work the other way.

Rant over 
But yes I'll get in touch with mabs. I still don't know how, even if some plan is drawn up I'll be able to pay these debts. As I said in my first post I understand I got out the loans, but at the time I couldn't possibly see how I would loose my job as it was going strong and just like that we got the news.

In regards to my assets, well yes I've nothing of real  value that could be seized to be honest. We have a car, not a great one, but it's ok. It's my wife's car, in her name, wondering if they could pursue that ? Other than that well I don't know really.

One last thing, going back last year I got a soliciters letter in the post, bare with me as I have no knowledge of the law and how it works. But as far as I rember It said a writ has been served on you.
I rang the soliciter in question and asked what it was as it mentioned going to court on the letter. She said, you only go to court if you denie you owe money. I aknowledge that I do owe money so I just left it at that. To be honest I don't know what that letter ment, it was like I was wasting her time on the phone and that's all she said.

One of the other posters above I shouldn't throw the letters in the bin. Well at first I didn't and lost my nights sleep and still do sometimes but so many came that I just bin them now. I get angry at some also. Ones from collection agencies like "we will get our money from you, your address has been passed on to our collection department and they will value your goods at the above address and seize what it necessary".

That was a strange situation. I owed MBNA money on credit card and was talking to one of their adviseors and made an agreement for €50 a month with the interest stopping and actually paid the first month and then got a letter to say they had sold the debt on. When I rang they said sorry, it was out of their hands.

I guarantee if these places would have just reduced the payments like I asked in the beginning I would have done my best to get out of the hole but I just went in so far I just gave up paying any of them.

Thanks for the info guy's I get in touch with mabs.

Cheers


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## SteveW9 (15 Dec 2008)

The1 said:


> I'd like to say thanks to you guy's that supplied the useful information.
> 
> SteveW9, this was a problem for me as soon as I lost my job.... I was collecting €375 a week for myself, wife and kids, on the social welfare that's all. So I was offered a job for €420 a week and took it, and in the end it made circumstances worse as it actually cost more working due to petrol and lunches, not just for me but when I had the car, the wife would be using the bus for the kids schools ect... so I ended up jacking the job and it took a few months to get things back in shape. I'll try stay on topic but I'd just like to say also I think the social welfare way out of touch with some of it's payments. I worked since I was 16, only in 2005 when I had the rotten luck have I not worked full time again but last year when all the xmas bonus was being handed out I rang them and asked if I was entitled to it ? I was told no that only long term unemployed are entitled to it. I think it someone is made redundant or has lost their job, they should be the one's who get a little help, but it seems to work the other way.


Yeah that job was definately not worth your while.  
Wow that is bad that the f**kers wouldnt give you bonus at Christmas even though you had built up stamps since you were 16. 
And the people who couldnt be arsed getting a job get rewarded ....hmmm why does this not surprise me ...the country is a joke.


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## The1 (15 Dec 2008)

My thoughts exactly steve. To be honest I feel like sh*t not having a job as I've worked all my life, since I lost the job back in 2005 I've worked in 3 other jobs. The one which I stated I jacked and 2 others that I was let go out of as it was only temp and like most employers these days they don't employ you full time, just part time so they have you at their disposal. 
But yes I see junkies going about receiving every type of payment about and shoving it into their arm and then robbing folks ect... and I think what's going on.

It's only when your actually in a situation like this that you see how ruthless the banks and other lenders are. They give the money out no problem but as soon as you ask can the repayments be lowered due to problems the situation changes and the legal letters start coming in.


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## babyspice (20 Dec 2008)

so your wife was getting lone parents allowance while you were workin every hour with great wages, am thats fraud, i know you werent married at the time, and when you were workin why didnt you buy a house, when the good times were here, so now you have 375 a week, with no mortgage and no bills, sure i would say your livin the high life..


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## Liamb (20 Dec 2008)

The1 I understand how you feel, going through the same situation myself at the moment and because of it I have gone to bank s of the Liffey a few time and God only knows what stoped me from jumping in.


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## Fester1 (22 Dec 2008)

The1/Liamb,
Guys I'm in a broadly similar situation as yourselves and have certainly had the Liffey feeeling!! When you put it in to perspective it feels like the end of the world but it's not. No debtors prison anymore! It's a bit late for this now but to others in trouble, DO NOT ignore the letters. The best thing to do is NOT to put your head in the sand but instead to deal with each lender explaining your situation(go via MABS for advice on this if needed). 
If they are not willing to alter payments I would request this in writing. At least then if this goes to court it is extremely favourable to you as the Judge can see that you have made attempts to sort the matter out.

What I have found is unbelievable lack of compassion from my bank. Almost like they wanted it to go to court! Although I should be okay I would nearly like to have defaulted on the loans just to have it go to court to show the Judge how unwilling they were to help with the least little thing.

All the best guys


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## Thrifty (22 Dec 2008)

The1 you need to visit Mabs as stated above - perhaps it would have been better to do this sooner as they could have helped you deal with your creditors and clearly presented your situation but they can still help you if you go now.
I would be very careful about ignoring letters from creditors and in particular court letters. The first court hearing in debt matters is usually for a judgement and this will be granted unless you defend the claim or pay the debt in full. The second hearing however is usually an instalment hearing for the Court to find out what you have coming in, what assets etc and then can make an instalment order for you to pay a certain amount per week/ per month. If you don't provide information about your income and debts and attend then the Court can't be aware of your situation and can make an instalment order for €100pw..... or usually whatever the creditor requests. If you don't then pay or go back to court to have this adjusted then the creditor can apply for a warrant for your arrest for contempt of court. It's not because of the debt but because you ignored a court order. 

In relation to your views on not getting a double payment at Christmas i did feel it felt a bit odd coming straight after you saying you went back on benefits because financially you were better off. If you had stayed in your minimum paid job you would not have got a bonus at Christmas and you would actually be working for that. the fact that you are better off really should make you appreciate the very generous benefit system we have. Gut reaction myself is that there it's wrong that somebody working should end up worst off. Did you apply for family income supplement when you were working. this can help make working more financially beneficial.


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## HAPPYFEET (22 Dec 2008)

Banks and lending institutions are the one's in trouble not you.Relax spend time with your family .Your health is your wealth....This happening all over the world every second of every day,your not alone.The interest you paid the banks etc back may have covered a great chunk of the loans....Talk to Mabs...try and sort something out.You will be surprised how much they will accept when they know its this or nothing.Hope things improve for you over the longterm,but take this time and spend it with your family and keep trying for jobs...there may be one just around the corner.


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## Strider (30 Dec 2008)

Did you contact MABS Yet?


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