Mortgage write offs for all, silly billies to have debt written off

Tayla

MysticalRain wrote: »

To be honest, I don't think it's the government's responsibility to advise people on how to manage their own personal finances any more so than I would expect them to tell me how to tie my own shoe laces in case I might trip myself up. That's part of what being a mature, responsible adult is all about.

Obviously it's not a problem to them if 1 person can't afford a mortgage and ends up absolutely broke because of it but when tens of thousands of people can't afford their mortgage, it becomes the states problem. They can't get blood from a stone.

If they had made it their responsibility to advise people then maybe we wouldn't be kicking the can down the road now in relation to mortgage debt, it probably wouldn't have been that much of an issue!

MysticalRain

It would be a huge issue for the state if we were talking about 250,000 people, not 25,000-30,000. That is a negligible figure compared to the 400,000+ currently on the dole. The fact is the vast majority of people who took out an over-priced mortgage during the boom years will pay back every single penny they owe. Even if it means shopping in Adli for the rest of their lives, and kissing good bye to any chance of returning to the kind of Celtic Tiger lifestyle they enjoyed during the boom years.

It's not a free ride for the mortgage defaulters either. The banks will still get their pound of flesh when they repossess the houses of anyone who can't or won't pay.

Rabidlamb

http://www.independent.ie/business/personal-finance/latest-news/mortgage-debt-scheme-leaves-power-with-banks-2988065.html

Mortgage debt scheme 'leaves power with banks'

By Charlie Weston Personal Finance Editor

Friday January 13 2012

PLANS for struggling homeowners to give up their homes and get some of the balance written off once the house is sold have been condemned as too favourable to the banks.

The debt deal would make people more inclined to go to the courts to declare bankruptcy, Paul Joyce of the Free Legal Advice Centres said.

Justice Minister Alan Shatter is considering plans that will see banks take ownership of homes of those unable to make repayments.

The new debt settlement scheme will not be a debt "free-for-all" as those who tap into it will lose their homes and still have to make repayments based on what they can now afford for between five and seven years.

But Mr Joyce said the arrangements being considered were too bank-friendly, adding: "This still leaves the balance of power with the banks."

bryaner

Yet another renter v mortgage thread brilliant..

opinion guy

This plan is retarded.

Its designed to protect the asset value of the banks whilst shafting the homeowner. Its also absolutely NOT a mortgage write off OP.

There is and only is one solution to the current issue. A devaluation of the housing market carried out by blanket mortgage forgiveness of a set percentage for all mortgages. It has been obvious for some time now that this needs to be done. Such a move, would ease the pressure on home mortgage repayers - all of them - , and would allow the housing market to start moving again which is ultimately what needs to happen. Except they won't do it as the banks are then taking the cut and their asset values will effectively be reduced by the percentage. But f**k em I say. They got too much help already.

But Mr Joyce said the arrangements being considered were too bank-friendly, adding: "This still leaves the balance of power with the banks."

As it should.. If I lend a friend 50euro, he's indebted to me. He asked me for the lend, I didn't offer.

jackal

Rabidlamb wrote: »

http://www.independent.ie/business/personal-finance/latest-news/mortgage-debt-scheme-leaves-power-with-banks-2988065.html

Any article written by the Indo's "Personal Finance" Chief should always be read in the context of this gem: http://www.independent.ie/opinion/columnists/charlie-weston/charlie-weston-100000-is-not-rich-when-the-bills-are-huge-1953730.html

Sample quote:

The idea that someone on €100,000 is "very wealthy" is simplistic, to put it kindly. To be more crude about it, it is economic illiteracy.

The reality is that most families on that sort of an income -- whether there are two or just one earner in the household -- are drowning in a sea of debt.

They are the very ones who heeded the calls to borrow and borrow heavily. So they have jumbo mortgages from buying or trading up at the height of the boom. They are now likely to be stuck in negative equity.

OK, they made a mistake by over-borrowing, but they have to live with that now.

Joshua Jones

Does anyone know if the banks will be paying the household charge on all the properties on their books from defaulters. Call me cynical but I doubt it somehow.

Bad Panda

Tordelback wrote: »

Not fishing for sympathy or anything like, just throwing out a personal anecdote by way of balance.

When my wife and I bought our 1000sq ft 3-bed terrace in the fringes of Dublin 24 in 2004, we did so with the intention of raising our family in it. We took an 85% mortgage, using our savings for the 15%, at a value of just under 3 times our combined salaries. Our combined total income is now 1/3 of what it was then, between unemployment and savage pay-cuts, and with all our savings now gone we have little hope of keeping up our repayments to the end of this year, and the supposed market value of the house (if you could sell it at all) is considerably less than the remaining mortgage . Incidentally we have no car- or holiday-loans to cover, driving a 14 year old 1 litre, and holidaying in a tent in Wicklow or Galway.

Stinger.

fro9etb8j5qsl2

Bankers and defaulters should be forced to watch this

https://www.youtube.com/watch?v=a37sRjkLtWw

Before being slapped with a wet rag and told how silly they are.

opinion guy

That style of that video is hilarious

giant_midget

Stiffler2 wrote: »

So let me get this right.
the bank takes your house from you, and then expect you to continue paying the mortgage for 7 years afterwards. Yes because you signed the loan docs

LOL - am I missing something here ? yes, the whole point of the story

IF I lost my house and the bank took it off me the first thing I would do is obvioulsy stop paying back the loan. you would be brought to court

This obvioulsy means you could never borrow or get a mortgage again but F**K that, I'd rent for the rest of my life and keep my 7 years worth of mortgage payments thank you very much No you wouldn't, a loan doc is a legal doc that you signed

twats I realise you are

.

Rabidlamb

Originally Posted by Stiffler2
bolded by giant_midget
red by Rabidlamb
So let me get this right.
the bank takes your house from you, and then expect you to continue paying the mortgage for 7 years afterwards. Yes because you signed the loan docs Unclear what the amount will be set at, unlikely to be a full mortgage as family will need to pay rent elsewhere if property is vacated.

LOL - am I missing something here ? yes, the whole point of the story Tad harsh

IF I lost my house and the bank took it off me the first thing I would do is obvioulsy stop paying back the loan. you would be brought to court So everyone in Ireland who has not paid their mortgage has been brought to court ?.

This obvioulsy means you could never borrow or get a mortgage again but F**K that, I'd rent for the rest of my life and keep my 7 years worth of mortgage payments thank you very much No you wouldn't, a loan doc is a legal doc that you signed Fearmongering much ?

twats I realise you are Uncalled for

Lad was only asking a question.
Your advice was very poor.

giant_midget

Rabidlamb wrote: »

Lad was only asking a question.
Your advice was very poor.

What you have highlighted in red above is very poor. My remarks are realistic. I dont live in the clouds unlike other people...