Patsy Stoned

where is Meow being judgemental? She is stating a fact.
oh and let me throw that 1st stone.

Roadking

Incoming!

Millsyisland

Ouch!

Meow

Not at all. I happen to know all the details of the case.

And I am entirely without debt. Shall I commence stone-throwing now?

Norm_uk

Actually the fault lies with the lenders. If banks were not allowed to do things like offer second credit cards and were better regulated - with a much tighter national credit check system in place then things wouldn't be so out of hand.

This week alone I have been called twice for credit cards from two different banks I have never had dealings with. One was so pushy I just hung up without my usual polite no thank you. Blaming the skippers is like blaming drug addicts when the pushers have a free reign to do whatever they like.

Meow

For once I am going to disagree with you Norm.

What happened to personal responsibility? No one HAS to accept an offer of a credit card or loan. They can turn it down as you did. I do think the banks have been irresponsible and short-sighted in their lending policies but I cannot lay 100% of the blame on their doorstep.
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Ethos83

I am all for personal responsibility. We have a massive obesity problem in the UAE among the Emiratis and diabetes is a growing concern. Does that mean we need to hijack the price of sodas or completely remove them from the store shelves?

But - not everyone intended to get into debt. During the boom the banking system and economy in the UAE was designed, if indirectly, to get people into debt. The one cheque payment for housing is a prime example - lots of companies left people in the lurch when they stopped paying housing allowances upfront.

And interests on credit cards are shocking out here. I had a squabble with Lloyds last year when I had a large credit card bill to be paid off. Sum was something like 10,075 AED (due to flight tickets amongst others). At the time I normally paid off the balance in person at the bank and for some reason the teller only paid off 10,000 from my balance, leaving 75 AED to be carried over to the next month. The 75 AED debt incurred an interest of 177 AED!

I fought the bank for months over this 177 AED, got someone to agree to override the interest charge as there had been sufficient funds in my account to cover it, then an upper manager canceled the override due to 'lack of proof of the mistake on the bank's behalf.' After four months I finally gave up but I am still sorely pissed off at Lloyds.

If the bank charged me so much interest over such a minor sum I can easily believe how an overdraft of a few thousand K can easily multiply.

End of story - I have sympathy for some people who got caught up in debt. But for others who went into debt for fancy cars and clothing and holidays and did a runner instead of owing up to their responsibilities, not much.

norsk

I don't think so. People generally get themselves into trouble and then proceed to whine and complain that someone or something else was the problem...

One of my mates here in Bahrain who used to live in Dubai told me that he knew of people a few years ago who would buy a car on credit, sell it and then use the cash to go on holiday with their family!

I'm not saying that's what most people did, but it does give an indication of how stupid people can be..

Charismatic

BC how can you be completely without debt? I mean you must owe somebody money for phone/internet/power/cleaner used but not yet billed (If you see what I mean).

Ethos83

[QUOTE=norsk;8784903]One of my mates here in Bahrain who used to live in Dubai told me that he knew of people a few years ago who would buy a car on credit, sell it and then use the cash to go on holiday with their family! QUOTE]

Hmm. Doesn't seem possible.

If you have a car loan you can't sell the car until the loan has been paid off and a letter obtained from the bank clearing their claim to the car.

Meow

Why are you called me BC?

Are you seriously suggesting that a utility not yet billed is a debt? That's daft. And yes I'd claim debt-free as have money to pay those off too
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norsk

[QUOTE=Ethos83;8784921] That's what I thought as well, but apparently this was happening..

Norm_uk

[QUOTE=Ethos83;8784921] Indeed, you would have to pay off the entire loan before the bank will let you sell it. Even after I paid my car loan off I had to get that letter to prove it was paid off before I could sell it.

Debt urban legends seem to be starting...soon we will find out about banks going door to door giving cash in exchange for family members being sold into slavery if they can't pay

N.

Norm_uk

I never learnt anything from someone I agreed with However I will agree that it is not 100% the fault of the lender.

I am rather cynical and feel most people do not have any sense of personal responsibility, especially in a place like the UAE where most people are foreigners and feel and act like they are on holiday even after several years. I have seen educated and intelligent professionals throw money away on crap they don't need and so I have little hope for the more humble folk of the world being offered things they don't need.

If the lenders were reigned in AND people were educated about money from a young age this would not be an issue for sure. I feel that regulating banks is easier than educating kids in school about the dangers of credit cards and personal loans...hence my comments

N.

littlejimmy

I agree with a lot of that, but I think the truth lies somewhere between Norm's and Meow's stances. Of course there are naive and stupid people around, but the ease with which one can get into massive debt combined with the archaic bankruptcy / cheque-bouncing rules means that people are forced into making rash decisions.