Posted: 5/13/2023 2:11:39 PM EDT
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Reading a few threads got me to thinking about people that declare bankruptcy. i know some people that have declared bankruptcy and they do not seem to have learned from their poor spending habits. A few years after and they are back to their irresponsible spending habits paying high interest loans, not saving money, etc. Does anyone know people that actually learned from bankruptcy and became responsible with their money? |
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I know women who do it every 7 years. Apparently, there's some kind of 7 year wait time or something. Maybe a GD financial/legal expert can explain how it's done. These women do it with planning and purpose so there's no learning fiscal responsibility Some guys I used to work with filed for bankruptcy, they never learned anything other than it's a great way to eliminate debt. |
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Yes. I have a family member that had to dump everything and file. They were clueless about spending and really were trying to keep up with their millionaire friends. Now, they jumped on the Ramsey method and won't play any reward card games. I even tried to get them to see how to do it, since they are better. Well, they said they promised the kids they would pay for college, so they are now in debt for just over 200k. They encouraged one kid to go out of state and enjoy the college dorms and fun times. The other kid saw what a waste it was and stayed in state. Most people choose the be in debt lifestyle and live that way. |
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Quoted: Reading a few threads got me to thinking about people that declare bankruptcy. i know some people that have declared bankruptcy and they do not seem to have learned from their poor spending habits. A few years after and they are back to their irresponsible spending habits paying high interest loans, not saving money, etc. Does anyone know people that actually learned from bankruptcy and became responsible with their money? 
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| I met a woman who was divorcing and her husband left her with all the bills for electronic goods (stero, big screen, etc). She notified her creditors (the legitimate ones) that she was declaring bankruptcy but that she would still meet her obligations. She declared bankruptcy, paid all her creditors off except for those electronic goods and despite her bankruptcy she has good credit. |
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Quoted: Reading a few threads got me to thinking about people that declare bankruptcy. i know some people that have declared bankruptcy and they do not seem to have learned from their poor spending habits. A few years after and they are back to their irresponsible spending habits paying high interest loans, not saving money, etc. Does anyone know people that actually learned from bankruptcy and became responsible with their money? A local commercial contractor started out as a house builder. Went belly up twice as a house builder. Spec home building, got caught in a down cycle once. Now largest commercial contractor in town. We are trying to figure out a way to enlarge his airplane hangar for a bigger plane. |
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Quoted: Reading a few threads got me to thinking about people that declare bankruptcy. i know some people that have declared bankruptcy and they do not seem to have learned from their poor spending habits. A few years after and they are back to their irresponsible spending habits paying high interest loans, not saving money, etc. Does anyone know people that actually learned from bankruptcy and became responsible with their money? My sister. She declared bankruptcy thanks to her 1st husband. He fucked over their finances so bad with idiotic spending and buying shit they didn't need. When they divorced, she filed for bankruptcy, worked through it, then came out much better on the other side. Now, she has a great job, making great money, a nice house (which her and her current husband are about to add to), and plenty of money saved up for a very nice retirement. It helps that her husband makes really good money, too. Together, they're in the mid 6 figures range. But she worked through her problems all on her own, paid off her debt, and never looked back. Oh, and her credit recovered and she's up around the max, now. |
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Quoted: Learn from it? People do it strategically. I know a lady that defaulted on her debt, and had a new car loan the next week. Quoted: Quoted: Reading a few threads got me to thinking about people that declare bankruptcy. i know some people that have declared bankruptcy and they do not seem to have learned from their poor spending habits. A few years after and they are back to their irresponsible spending habits paying high interest loans, not saving money, etc. Does anyone know people that actually learned from bankruptcy and became responsible with their money? Some businessmen are the same. They start multiple businesses over their lifetime. The ones that do well, they keep the money. The ones they screw up, they declare bankruptcy and their debts become somebody else's problem. |
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Quoted: My sister. She declared bankruptcy thanks to her 1st husband. He fucked over their finances so bad with idiotic spending and buying shit they didn't need. When they divorced, she filed for bankruptcy, worked through it, then came out much better on the other side. Now, she has a great job, making great money, a nice house (which her and her current husband are about to add to), and plenty of money saved up for a very nice retirement. It helps that her husband makes really good money, too. Together, they're in the mid 6 figures range. But she worked through her problems all on her own, paid off her debt, and never looked back. Oh, and her credit recovered and she's up around the max, now. My dead ex brother in law controlled all the finances and put him and my sister in big debt. I think the debt was the reason why he offed himself. |
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Quoted: What was the interest rate on her loan? Isn't bankruptcy supposed to destroy your credit score for 5 years or so? Financing a person who declared bankruptcy is actually a fairly safe bet, since they can't do it again for 7 or 10 years, depending on which chapter they filed. My brother and his wife did bankruptcy at least 4 times that I know of. I'm not sure if it had to do anything with their professional cleaning business. In fact, my mom and 2 brothers have filed at least once, they saw it as an easy out. I think my 2 step brothers may have also. I'm the only one who hasn't. |
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People file for different reasons. Sadly most are because of bad financial decisions but I won't blame those who've filed because they were laid off, had extensive medical bills, or anything else that was completely out of their control. I know of people where bankruptcy is a way of life. They file, build up a ton of debt by having the newest cars, iPhones, and other toys just to file again. I don't understand that lifestyle or why they're allowed to keep filing over and over again. But I also know good people who got there because of things out of their control and are now better off for it. |