Personal Loans For People With Bad Credit A Big Mistake?}

Personal Loans for People with Bad Credit – a Big Mistake?


Ashley Hamilton-Gray

Lending institutions today, more than ever before, are inundated with requests for personal loans from people with bad credit ratings. Of course, they have money to lend, and wish to lend it. Under the right circumstances this can be both helpful and useful. But for those individuals who have already stacked up credit upon credit, whose debt load is already heavy and burdensome, we must ask the question:

Is this really the answer — or are we all making a very big mistake?It goes without saying that money loans need to be paid back — at least sometime. Banks and other loan companies are in business to make money, not to run charities! The interest they charge is their profit. Now with more and more people defaulting on repayment arrangements, it is a cause of concern that cannot really be tackled other than at its root.Just what lies beneath the current financial mayhem? Even a few decades ago it was understood by both parties to an agreement that loans get repaid — generally on time. Any reneging on the debt itself carried severe penalties. We might even say the approach was puritanical. However today’s topsy-turvy world of financial lending conversely contains more than a dash of the cavalier spirit, and left to run unchecked could end in serious problems.And what of the individual in all of this? How easy has it been to run up debts of 10 K, 30 K, or even 50 K in a matter of a few months? And when the nought percent (0%) offers run out, or the special low rates end abruptly due to one missed payment etc — what then? As the bad credit record begins to show with the first few missed payments lenders start to lose confidence– and are no longer prepared to pour more into the overheated melting pot. Yes — what then?The solution to this itch is definitely not to scratch it with yet another cash advance from some charitable lender (whose over-enthusiastic representative no doubt stands to gain personally (being either on commission or at least some kind of ‘brownie points’ bonuses!). This kind of quick-fix mentality is not going to serve any of us well, as we approach the second decade of the second millennium! Financial lending institutions and individual borrowers alike cannot fail to suffer eventually, unless this attitude is curbed. It has all been too ‘easy come easy go’ with spending other people’s money, and the day of reckoning cannot fail to be far behind!On sober reflection, the only practical solution to this pirouetting catastrophe, before at all falls flat on its face, is for banks and individuals to become more responsible in the lending/borrowing arena. The only hope of recovery lies in re-education — first and foremost of those individuals who are suffering the burden of excessive debt coupled with an inability to repay. There are organisations, (such as the Consumer Credit Counselling Services in the UK), who are there to help with very practical financial advice. In addition to this there is also a growing awareness of the need for more heart-searching education. This involves assisting individuals to change the way they relate to money — right from their very core.Once debt and overspending is seen as a ‘relationship problem’, then as with any other problem in relationship, a close and candid personal examination is called for in order to take personal responsibility for actions and consequences. New ways of thinking, feeling and being will ensue. And from this new centre individuals can begin to behave differently around money, due to the personal changes made. This kind of re-education has been sorely needed in today’s heightened lending market, and attempts made to address this with caring attention to the individual have been much appreciated. The ‘cashflow-problem’ web site bears one such educational light at the end of what’s been, for many people, a very dark tunnel indeed.

To find out more about about how to change a relationship with money visit the ‘Cashflow Problem’ site at:

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Personal Loans for People with Bad Credit – a Big Mistake?}