Topic: Is taking a loan/debt addicted ? - page 11. (Read 3079 times)

If I even think of taking a loan it would be that I have a business that I intend to kick start or boost an existing one that will enable me to pay back that loan without stress or I have a job that can also aid by paying back the loan quickly without stress. I believe the problem would be people taking loans when they don't have the means of paying them back and investing in something that wouldn't yield ROI  and I wouldn't go for that cos it would play out as you have explained.

and most it is almost impossible to get approved your loan, so before you could only borrow money from those people that were lending it, but with a high interest rate, and you had no choice because you were in need of money, but now there are applications on your phone that you just need to install, and then money will be sent to you; it is really easy and tempting, which is why others right now can easily take a loan as it is easy to apply, though it is not an addiction, but they just got easily persuaded on getting a loan and just buying useless things.

In today's society, most people used to taking of loan find it very difficult to stop, because it's very easy to have access too loan.
 Sometimes they may not even think of the high interest rate due too the desperation toward the challenges facing them, time too pay back it will become an issue and  most of the resources they have will be use to service debt.
I always tell people that are close too me not too get involved in debt, because once you are into it, an financial challenge you have then you don't have money, the first thing that will come too your mind is who can borrow me, which is too bad

Taking a debt could be addictive but only if you use the money for something addictive, like drugs or gambling for example. And furthermore you must have an addictive personality for the addiction to become a real problem. But yes, essentially it could be very much addictive.

I imagine that the good feeling of receiving money is also something which could give a person a dopamine rush. Just like anything that makes you happy.

If you abuse that dopamine rush too often, it screws up your neurochemistry, therefore leading towards addiction.

This is the problem of modern society, when every day advertising from everywhere tries to sell us something, and if you don’t have money for it, then they are ready to sell it on credit. It seems affordable and convenient, you can get the desired thing now and pay for it gradually. But in reality it is a trap, because today is a thing, in a week it is different and thus the sum of loans is summed up and it turns into a burdensome debt. For whom it will become an addiction, and someone will understand how stupid it is.

Yes, this can become a vicious circle, and it's important to take proactive steps to break the cycle of debt.
List all your debts and prioritize them based on interest rates, penalties, and due dates. Try to pay off debts with the highest interest rates first and then make a budget and stick to it. Identify unnecessary expenses and cut them out. Use the money you save to pay off your debts.

If the one has assets they can sell to repay a loan it is usually not the worst situation. Many take loans when they just want something and they not think about if they have anything to cover a loan. And usually if you have liquid assets to sell to repay a loan you can restructure a loan as well as usually in such case your average income gives you an opportunity to repay it without a radical solution. And many have no such option but even then they can solve the problem, it is not the end.

I would say people are less "addicted" and more trapped in the cycle as you said. The kind of people that take out debt, beyond a cheap mortgage rate, are the kind of people who would rather spend money now and worry about the consequences later. Living within your means when the celeb culture and world is constantly trying to sell stuff to you can be hard to do. On top of that people often get on a rollercoaster that they cannot get back off, rolling debt into new debt while interest rates can tend to creep up and instead of paying the debt you end up just paying off the interest. If it's a credit card they can often charge extortionate rates like 20% per year, it's very dangerous territory if you don't pay them off immediately and often the poorest suffer most because of this.

Taking of loan is inevotable when we don't have alternative, that is there importance as an emergency solution when we encounter problems and nobody to help with instant money when you are in need of it but what some people take previlages when they see generosity and it is very bad, why would anyone turn their self to addicted borrower everytime, there is nothing bad in taking of loan but when it becomes a daily activity, then it is nonsense, most people who do that always turned out as loan defaulters that don't pay back their loan again.

You can say that, this is because nowadays it is very easy to get a loan, if 10 years ago we had to be embarrassed because we wanted to borrow money from friends or family, but now there are hundreds of online loan applications that have become a trap for us, I suggest avoiding online loans because the interest is very high.

The impact of debt is indeed very bad and will create psychological pressure if you are not smart in managing your finances and the tempo for solving them. But if someone has been trapped by the tempo, then there are other, wiser solutions, one of which is to sell assets to cover it. Apart from that, if you have extra savings or an emergency fund, of course you can use the savings you have provided you don't use the savings as a whole for pay off debts. If you use all your savings for debt, it will be difficult to get additional funds and have the potential to have debt again during an emergency.

And that's why I remind in this topic that everything can be solved. Because if someone will come to this topic with suicidal thoughts to learn about how to overcome their problem they should know that there is light at the end of the tunnel. A lot of people went through it and started a better life, no money problems are as important as our lives. It is better not to make these problems be realized because a problem is anyway a problem, but any problem with money is solvable.

What I'm confused about in your story is about who borrowed it, because when I read in the first sentence you seemed to say it was the person who gave you the loan. But after I read everything, it turns out that you are talking about someone who, after lending some money, then moves where it is a bad habit that he has done repeatedly.

But you also need to know that people like that usually get fed up with constantly moving where they live after lending money to other people, and what I wonder is why you can immediately trust people who you don't even know what their true nature is. For me debt is the initial trigger for hostility if someone does not pay it on time and debt can also break someone's good relationship with his friend even though they have been friends for a long time.

Borrowing repeatedly is not a problem, but what is a problem here is whether the person who borrows can be responsible repeatedly? Because you will not know what is in his heart after borrowing money from you and the responsibility for timely payments, not everyone has it when it comes to money.

Taking a loan goes beyond a mere addiction at my side. I could remember when I used to take loans, hardly could I save up as about 90% of what I earned did go for repayment every week. My advice to everyone is for investors to avoid loan taking as it ruins the investment.

   I think there are many loan addicts, I met someone who loaned me 150$ before because he got my trust I allowed him to lend me this amount, then he only partially loaned me about 30$ once after that nothing happened after that, it took a few months and I went to his house and found out that he had moved. I asked his neighbors if anyone knew where he had moved to. I found out that he had a habit and a disease of borrowing and hiding. he owed it.

   But if you pay well, there is nothing wrong with borrowing repeatedly in my opinion, because you owe responsibly to what you borrow, and you value the creditor's trust.

A very common question that might produce answers depends on their respective countries. The loan will face two things, namely agreements and rules applied by the government in a country. The agreement is related between the borrower and the owner of the company, while the rules are something that is applied by the government related to consumers and the company owner. When a person is unable to pay the loan, of course it has violated the agreement adopted by the borrower company. But the government also applies rules to protect consumers from violence in billing, so that company owners cannot collect arbitrarily against consumers. Maybe in this case benefit the consumer.

But other things can also be detrimental to consumers when delays in paying, because the company or capital owner applies the rules of late interest. They even calculated the delay interest in a matter of days. A company applies the rules or interest agreements for late 0.5% of total installments. If the installments $ 100 in a month, if one month is late, of course the interest from a fine of $ 15 and added monthly installments. But if it is late for a few months, of course guaranteed goods will be confiscated by the owner of the company or the owner of the capital.

My advice, if someone needs money and there is still another way to get capital, then avoid such loans.

I'm actually very afraid of loans because I'm very afraid of debt.  For this situation, I think in any other way or form it is advisable to contact the agreement/interaction negotiation with the borrowing bank or the borrower about your situation.  If there is cooperation should be presented in writing signed for the delay in loan repayment accepted by the creditor.  Before thinking about rotating money, add another place to offset this debt.  Then the cycle goes on and on, which is certainly not a viable and efficient solution.
Next, if it is not possible to negotiate with the borrower's bank/creditor, contact his/her acquaintances/relatives/family friends to help and explain to them in detail.  It will be better than borrowing many other channels just to settle one debt.  On the contrary, it is really difficult to get out of debt

I have witnessed this incident from my neighbor, he is a person who always borrows money, not even just online loans or banks, but many people have borrowed money to cover debts that he could not pay before, and I think this belongs to the category of people who do not pay debts, yes, even though there are many solutions but he can't do that because his mentality and mindset due to debt addiction causes his mindset to be short, and for this incident many parties are harmed and his family has to bear the burden he left behind, while those who have debt on this day who knows where he is.

Indeed, there are many ways to improve and pay off debts and live a better life in the future. But not everyone can get through it well, because their mentality will be disturbed if they are in a state like this. They choose to end their lives because maybe they can't stand the pressure anymore and they will surely be embarrassed when many come to their house to collect debts. Money is a sensitive thing in life, because it can happen very fatal things.

but there is not a single country that does not have debt, and the more advanced the country is, the more debt it has. what makes the difference is the level of debt security to a country. if GDP meets the requirements for taking debt safely I don't think it will be a problem. on the other hand the designation of debt that needs to be questioned. if later the debt has economic value, and will have a greater effect in the future, then debt can be taken into consideration for the development of a country, for example for infrastructure purposes that support the wheels of a country's economy