oldwoodie42 Loc: Scotland, UK

I’ve just received yet another unsolicited text message telling me that if I have more than £5000 of debt I can apply, under “new government legislation”, to have 70% of my debt legally written off. Is this really the way that modern socialism works? I run up huge debts and cannot afford the repayments; so the socialists advise me to borrow more, and more, until eventually I realise that there is no way I can ever repay the money. So then I apply to the government to have most of my debt written off! What about my creditors? (Banks can perhaps afford the losses but unpaid customer debts are a killer for small businesses.) Can someone please explain? And is socialism the same in the USA?

JR1 Loc: Tavistock, Devon, UK

This is why as a small business DO NOT ask me for credit

Wellhiem Loc: Sunny England.

Are you suggesting that the bankers who keep wanting to lend you money are socialists?

sarge69 Loc: Ft Myers, FL

Being completely honest, I lost track of a credit card a few years back.. All of a sudden I get this letter saying " You have not made a payment in two years. If you don't contact us we will have to use a collection agency"

I looked and I had no such card. I went back in my files and low and behold there was a statement from 2 years back with a hand-written note on it saying " Change to email notification to say postage and paper with a date 2 years ago"

I called back the company and asked if there was a record of my request for paperless. The clerk said yes. So I asked what email they were sending the notices to and after a few minutes she said ' Ahhhh there is no email address listed in your paperwork"

I said "How the hell can I make a payment when you don't notify me because I've cut up that card because of the large loans I've used for my daughers college (almost $23,000.00) and just wanted to be paying it off.

After at least an hour and 2 supervisors I was asked "Do you want to take advantage of a payoff within 3 months with 3 payments of $830.00 and we'll consider the loans ($23,000.00) paid off.

I took it, made the 3 payments and at the end of the year the remaining debt was identified on my taxes with a 1099 independent contractor income in that amount. I ended up paying no taxes on it due to expenses.

I was lucky but credit card companies will work with you to eliminate debt.

I don't use credit cards now and if I can't pay cash, I don't buy it.

Sarge69

fclifford

Am I understanding this correctly. You owed 23,000.00 and because they didn't send you an email bill you simply forgot that you owed this money? Don't you feel you had an obligation to repay what you owed? Really?
Fred

Ambrose Loc: North America

It's a scam.

The law they are relying on here is the Limitations Act, which states that the debt can become statute barred after six years if you haven't paid any of the debt or admitted to it, and the person you owe money hasn't gone to court before six years elapses.

However, the debt isn't "written off". It's still a debt and it still exists, the creditor can chase you for it forever, it's just that with the Act in force, they cannot take legal action against you.

Even if you did take advantage of this, your credit rating would be in ruins.

JR1 Loc: Tavistock, Devon, UK

If you run the debt up pay it off

oldwoodie42 Loc: Scotland, UK

That's the honest approach! Unfortunately there is a substantial section of modern society that does not agree with you (the folk who believe that the world owes them a living) and if they choose not to repay their debts there is very little that can be done about it.

sarge69 Loc: Ft Myers, FL

I asked for email notification in lieu of paper. Up to that point I was paying every month and one month I got no paper bill so didn't send in a check. That's why I requested email notification as I cut up the card so it would not be used any longer. No care, out of view out of mind. The CC Company didn't send me any notifications from then on until 2 years passed. Then, looking back in files found the info and the note about email. They admitted their mistake and offered the special settlement. I had to put in the amount they forgave in yearly income to be taxed on.

Sarge69

JR1 Loc: Tavistock, Devon, UK

And that is what kills small businesses, and one reason why ALL payments to me are made before a wedding etc.

fclifford

Yes I know. I had a company with about 40 employees & it was very hard with certain people to get paid. people demand a service & than afterward come up with any excuse not to pay. I imagine that if I lent him 20 bucks he would not repay me. After all it is not much money, so why all the fuss. I call these people dead beats.
Fred

fclifford

fclifford

I think you are very dishonest. By the way did you furnish them with the new email address?????

gmcase Loc: Galt's Gulch

What did he do that was dishonest? They made an offer, he didn't demand it.

SteveR Loc: Michigan

What was the original principle and how much interest and penalty had accrued over the two years, Sarge?