Really need advice 40k in debt - thinking of running

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owesafortune

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Hi i hope someone can help me.

I have been gambling for the last three years and have run up debts of 40k. I have stopped gambling for the last 3 months and have tried to make agreements with my creditors which i have done twice through MABS and missed the payments as they wanted the full amounts. Now, I have got a new job and the salary is about 475 a week which is 120 a week less than my old job.

I haven't paid in two months and about 5 months in arrears altogether.

Here's the thing: I have one loan with the credit union for 12k and have 6k in my acc but have fallen behind 500 and will pay that arrears this week and what I'm thinking is to pay nobody anything except the credit union 1200 a month and then try to borrow 20k to pay off the rest.

Will i have 10 months before i go to court and have to pay or should i pay a little bit off each , although GE money said they wouldn't freeze my interest what do i do ???

Option 2: I was going to try and pay the union off so i could get my 6k and do a runner. I know it's not the right thing to do go to jail and how long would it take before i could come back ??? or could i stay here and move address ??

I don't know what to do.
 
Re: realy need advice 40k in debt - thinking of running

If you have nt got the money to repay debt the court is not going to jail you. Keep correspondence with ge on file. Dont ignore them. If they issue proceedings you have nothing to fear as long as you Make some attempt to repay
 
Re: realy need advice 40k in debt - thinking of running

I don't think it's a good idea to borrow more money. Why can you not go back to MABS, what did they negotiate on your behalf and why did you not pay that amount?
 
Re: realy need advice 40k in debt - thinking of running

I don't think anyone will advise you to do a runner! although I imagine you are tempted to do one.

Do you attend a support group for your addiction? I think its your main problem, if and when you get yourself out of debt this time you are always in danger of falling back unless its addressed, if so can you talk it out there with people who have been in a similar predicament?

Best of luck!
 
Re: realy need advice 40k in debt - thinking of running

Running away from your debts is not really a prudent solution. You need to come to some arrangement with your creditors to make at least nominal repayments on your debts. If you have done this twice already through MABS but have not kept up your side of the deal then this complicates matters. I suspect that you need professional help for your gambling problem as well as with your financial problems.
 
Re: realy need advice 40k in debt - thinking of running

You feel like running away because you are looking at the whole picture and you don't like what you see. Go to MABS again. You say you missed two payments becasue they wanted the "full amount"? What do you mean by this? Also, look at the Money Makeover thread on this site and do the template that's there to help posters get a handle on the breakdown of the 40k debt. They may be able to advise you better when they know that.
 
Re: realy need advice 40k in debt - thinking of running

it seems overwhelming right now but surely MABS can come up with a workable solution for you?

What do you think will happen if you run away? You will feel you owe nothing and itd be very very easy for you to slip right back into gambling (you have only had a 3 month break).

More importantly than paying off your debts I think you need professional help for your gambling addiction - you may get advice here on how to handle your debt but unless the addiction problem is solved you may end up in the same situation again.
 
Re: realy need advice 40k in debt - thinking of running

You could consider declaring yourself bankrupt but it is a very drastic solution and you should discuss it with MABS. The only possible way you could be sent to prison is if a creditor obtained an installment order against you from a court and you defaulted on it. Technically that is contempt of court and you can be jailed. Bottom line is that if you don't have the money you can't repay
 
Re: realy need advice 40k in debt - thinking of running

Don't mean to be alarmist but in spite of what some people here and elsewhere might claim people can and do go to jail for non payment of debts.
 
Re: realy need advice 40k in debt - thinking of running

ClubMan said:
Don't mean to be alarmist but in spite of what some people here and elsewhere might claim people can and do go to jail for non payment of debts.
Click to expand...

They do but infrequently and if you can show the court that you are making a reasonable attempt to repay the money no judge is going to jail you. That means keeping up monthly payments as negotiated. There is a long road ahead of anyone before they get you to the point of going to jail. They need to get a judgement against you and then an instalment order for paying a certain amount a month. Then if you default on these after say a year they can go back into court and seek a commital order. If this is granted you will have a few months to pay up and even then the gardai are slow to arrest someone who defaults. If a jail term is served its usually days and not weeks,

My advice to you is negotiate through MABS a repayment schedule and stick to it - so you'll want to be happy that you can meet whatever is agreed.

And go to Gamblers Anonomous
 
Re: realy need advice 40k in debt - thinking of running

One step at a time, Owesafortune, don't despair. 40k sounds a lot when looking at it in totla. Break it down, prioritise, do a budget plan, take little bites at it rather than despairing at the total amount you owe.

1. Go to MABS
2. Keep in touch with debtors
3. Do the breakdown on MoneyMover thread...posters might advise consolidation options, cheaper interest rates,etc..
4 Dont despair!
 
Re: realy need advice 40k in debt - thinking of running

thanks for the advice .Ive made an appointment with mabs again but i cant see them for two weeks . ive worked out a budget and think i can pay them 50 euro to the ge and 20 to the credit cards do u think this will be accepted . by the way im still not gambling and feel very good about myself its just the debts that are wrecking my head . if i was to abscond what is the posssible outcome how long would i have to go for and would it do me any good . in the sense i was thinking of going to england working and saving the cash then come back and pay them .
 
Re: realy need advice 40k in debt - thinking of running

owesafortune said:
ive worked out a budget and think i can pay them 50 euro to the ge and 20 to the credit cards
Click to expand...

You never mentioned credit cards in your original post!

How much do you owe on the CCs and what is the normal minimum repayment on each? Are these CC debts in addition to the original debts mentioned? What is your overall debt situation now?
 
Re: realy need advice 40k in debt - thinking of running

the debt at the moment is 23k to ge money 3.5k to mbna ,2.5k tesco loans and 12 k to credit union which is just over 40k i have 6 in the credit union . the good news is i have a new job the bad news is im still thinking of legging it i had thought to pay credit union 500 a week for the next 20 weeks and then taking the 6 and doing a runner to england until i havre i have the rest sorted . i know its not a good solution but there calling me everyday at work at home and i cant deal with anymore . i know its wrong to not pay debts but can u tell me what will happen if i go court proceedings and that
 
Re: realy need advice 40k in debt - thinking of running

also can anyone tell me if they will accept an offer of 50 a week on a 23k the normal repayment was 550 a week so thats less than half of what they are looking for and if they dont accept it what happens next . lastly and i dont want to do this but if it came to me legging it and seen as i have no property or money would they pursue me and if they did could they do anything about it
 
Re: realy need advice 40k in debt - thinking of running

First of all running away from your debts isnt a good idea, you will still owe the money on your return and if you are away in england or elsewhere you may be taken to court without your knowlage.

MBNA like all credit card companies will constantly ring you for a payment, I suggest you ring and make an arrangement, get it confirmed in writing by MBNA. As for GE and the others I also suggest you make them an offer that you can afford and manage and if it ever goes to court you will have proof of making regular payments.

As for MBNAs phone calls why dont you ring them and ask could they not phone you at work, give them a mobile number and stick to the payments you arrange.
 
Re: realy need advice 40k in debt - thinking of running

onlineprint said:
As for MBNAs phone calls why dont you ring them and ask could they not phone you at work
Click to expand...
Original poster may have agreed to them making contact at work on the original application form.
 
i think i did agree to let them caontact me .but that doesnt matter thats realy not what im asking . look i no what im thinking of doing is wrong so im asking you will a small amount like 50 a week be accepted because if they dont i will have no choice but to abscond . to be honest the more i think about the more it seems like the best choice .also as you said i will have pay back the money when i return wont they write off the debt as a bad debt if i cant be summonsed ???
 
Firstly you don't go to prison for a debt - you go if you fail to attend Court or keep to the orders they make and you are imprisoned for 'Contempt of Court'. It's impossible for anybody to say what payment will be accepted - the main thing is to show the creditor that this is all you can afford. - MABS should help you draw up a budget taking into account what you need for bills, rent etc and then deciding what you can afford to pay towards the debt. The creditor can decide and if its not enough continue to take legal proceedings. At this stage you need to be sure you attend court, show them your income and outgoings and show what you can afford. They will take this into account when deciding what you should pay per week or month. It's essential then you do keep up this payment or apply to the Court to vary it if your circumstances change and you can't afford it anymore. I suggest you go back to MABS who can help you if you are determinded to make the effort yourself.
 
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