Some people are born idiots!

One of my friends (ish ... more like acquaintance) is having his house repossessed due to mortgage default, and he is probably going to declare himself bankrupt to escape huge debts. I feel deeply sorry for his kids, but not for him or his wife.

Why? Well, a few years ago (not many) his aged, childless, spinster aunt died in a nursing home and in her will she left everything to her sister's children. He is an only child, so he got the lot. The lot turned out to be a lot! £200,000, to be precise. I know because he bragged endlessly about it to anyone who would listen.

Now, I've seen their house and it's nothing palatial, just a normal terraced three-bed place. They were mortgaged up to the eyeballs and you would think they'd bang the whole lot into the mortgage and other debts, all 200 fat ones, pay off the mortgage and have enough left for a slap-up meal, a family trip to the cinema and the joy of being a mortgage-free and debt-free couple in their early thirties, with a nice enough house to show for it. You would think they'd do that. Any sane, rational person would do that ...

Instead, they ripped out a five-year-old decent kitchen and had an absolutely top-of-the-range marble masterpiece fitted. Then they did the same to the perfectly functional modern bathroom. Then they bought their daughter a horse. A f**king horse. And bed 'n' board and a stables. The list of outrageous purchases goes on.

Long story short, they burned the whole wadge of filthy lucre in three years flat. Yep, two hundred big 'uns, all spent in three years, and they used absolutely none of it to pay off any of their seemingly prodigious debts.

I really feel sorry for their kids, that's all I can say.

Some people have no clue .

A fool and his money are soon parted!.......

Sickening.

Would have got a swimming pool too.

And this is why the world is screwed

I know a few people like that - not quite on the same scale though! Nobs the lot.

Years ago, when the national lottery had not long been out. A guy who I went to school with, along with all the staff of a small local mushroom farm, won the jackpot. They got £110,000 each, and some of the girls appeared in the sun newspaper as they decided to buy new chest bollocks.

Now that kind of money was a big deal in the 90's. He went on to buy an RS turbo, but couldn't drive so paid his friend to drive him around in it. Drank himself stupid 24hrs a day. Would blow his nose on £20 notes and stick them to things (buss shelters, toilet doors, peoples backs) and financed his brothers business (drugs). I lost touch with him soon after because, well frankly he was a tit.

Just over 12 months later I heard he was broke and selling weed from his dads flat. All he had to show for his money was a 5ft tall teddu that he had bought for his girlfriend. Who had pissed off as soon as the money ran out.

Years ago, when the national lottery had not long been out. A guy who I went to school with, along with all the staff of a small local mushroom farm, won the jackpot. They got £110,000 each, and some of the girls appeared in the sun newspaper as they decided to buy new chest bollocks.

Now that kind of money was a big deal in the 90's. He went on to buy an RS turbo, but couldn't drive so paid his friend to drive him around in it. Drank himself stupid 24hrs a day. Would blow his nose on £20 notes and stick them to things (buss shelters, toilet doors, peoples backs) and financed his brothers business (drugs). I lost touch with him soon after because, well frankly he was a tit.

Just over 12 months later I heard he was broke and selling weed from his dads flat. All he had to show for his money was a 5ft tall teddu that he had bought for his girlfriend. Who had pissed off as soon as the money ran out.

It's you isn't it

My brother got a large compensation claim, he lost an eye at work after a metal spike popped it.

He has nothing to show for it only a couple of years later. No house, no car, nothing.

I got 2500 when I was 17 for a injury at work , nearly cut me finger off... remember my mum and dad telling me to put it in the bank and save it .. yeh right , I went and bought this

What I wouldn't give right now to be mortgage free, No idea how people manage it. Fair enough spend a small amount on yourself - small in terms of the amount given to you anyway, and use the rest to make yourself secure.

What I wouldn't give right now to be mortgage free, No idea how people manage it. Fair enough spend a small amount on yourself - small in terms of the amount given to you anyway, and use the rest to make yourself secure.

they have to pass through a very dangerous zone that most people dont even realise they are doing.

Take two sets of people in identical circumstances. One has a 95% mortgage, the other has paid a load off and only has a 20% mortgage..

They both lose their jobs and cant pay... guess who the banks will repossess first?? its a lot easier to sell a house and recover a 20% debt - not so easy to sell a house and recover a 95% debt, especially after the occupiers have trashed the place because they are bitter its being repossessed.

so, be warned people, if you have high equity in your property and you fall on hard times, the banks wont hesitate in taking your house away...

What I wouldn't give right now to be mortgage free, No idea how people manage it. Fair enough spend a small amount on yourself - small in terms of the amount given to you anyway, and use the rest to make yourself secure.

 

they have to pass through a very dangerous zone that most people dont even realise they are doing.

Take two sets of people in identical circumstances. One has a 95% mortgage, the other has paid a load off and only has a 20% mortgage..

They both lose their jobs and cant pay... guess who the banks will repossess first?? its a lot easier to sell a house and recover a 20% debt - not so easy to sell a house and recover a 95% debt, especially after the occupiers have trashed the place because they are bitter its being repossessed.

so, be warned people, if you have high equity in your property and you fall on hard times, the banks wont hesitate in taking your house away...

Sorry my comments were relating to when someone is given a large sum of money. If they have the chance to totally clear the mortgage I don't know how they don't. For the risks like you mentioned above.

Years ago, when the national lottery had not long been out. A guy who I went to school with, along with all the staff of a small local mushroom farm, won the jackpot. They got £110,000 each, and some of the girls appeared in the sun newspaper as they decided to buy new chest bollocks.

Now that kind of money was a big deal in the 90's. He went on to buy an RS turbo, but couldn't drive so paid his friend to drive him around in it. Drank himself stupid 24hrs a day. Would blow his nose on £20 notes and stick them to things (buss shelters, toilet doors, peoples backs) and financed his brothers business (drugs). I lost touch with him soon after because, well frankly he was a tit.

Just over 12 months later I heard he was broke and selling weed from his dads flat. All he had to show for his money was a 5ft tall teddu that he had bought for his girlfriend. Who had pissed off as soon as the money ran out.

 

It's you isn't it

No mate, I was the girls who got a boob job!

No mate, I was the girls who got a boob job!

And I was the surgeon... Mwah-hahahahaaaaaa! That's probably why they were a bit wonky.

Did you ever recover feeling in your nipples?

Got to disagree about the mortgage thing Joeman - if you over pay you accumulate a "reserve" so you can temporarily stop paying for x amount of time if things go pear shaped.

Holy crap what a bunch of prats! Felt a bit sick reading that

I'd be paying off the mortgage then enjoying the huge increase in monthly disposable income for the rest of my days, not increasing the resale value of a property that I hadn't sodding paid off yet

200k. I'd be paying my parents back first for the loan they did to help me buy the house and then the mortgage.

If I won the lottery I'd be getting my sister sorted with a decent place to live too. And her DAS sorted.

stories like this remind me of a short horror story by W.W. Jacobs. the monkeys paw. where a man wished for money and he got it.. but it was compensation for the awful death of his only son.

coming into a large sum of unearned money can prove to be hugely destructive for the people involved.. those viewing it from 'outside' so to speak would do well to consider if they would do any better... or whether they would succumb to the insanity this kind of event can produce.

a famous example...

By her own admission, she found it hard to cope with the psychological effects of the money Keith had won. Having no concept at how to manage and save money, Viv Nicholson admitted to becoming so consumed by spending money that she related to it at one point like an addiction to narcotics. Due to her out of control spending, she came to feel distanced from the people she had lived among, who in turn could no longer relate to her, and developed an ever greater longing for a much more affluent lifestyle.

In modern terms they won more than £3,000,000 and inside of 7 years it was all gone. Her husband died and she was forced to fight for the bit of money he had left. and then promptly spent/lost that.

If all that wasn't bad enough.. her photo ended up on the cover of a single by The Smiths. "heaven knows Im miserable now." appropriate.

I wouldn't be surprised if there was some kind of psychological description/name for this form of madness.

No mate, I was the girls who got a boob job!

And I was the surgeon... Mwah-hahahahaaaaaa! That's probably why they were a bit wonky.

Did you ever recover feeling in your nipples?

Got to disagree about the mortgage thing Joeman - if you over pay you accumulate a "reserve" so you can temporarily stop paying for x amount of time if things go pear shaped.

Cockeyed

There is an up side to such stories. Just like all the people who got PPI and other mis-selling payouts and many who get inheritances, spending it like wildfire helps to keep the economy going with spending. Spending that creates jobs and in the end £200k was distributed by one family to lots of people, so helping to pay their wages.

Meanwhile there are also plenty of people who on getting a windfall do pay off their mortgage and release extra spending for the years they would have had to give to the lender. They then drip feed the economy by spending. It pretty much amounts to the same thing, the difference being with the former it is all at one time and with the latter it is spread out over much longer.

The real problem are the eight people who have as much wealth as those 50% of the world population below average world wealth. Those eight people sit on much of that wealth or keep it close by. They also make sure as little as possible is redistributed via the tax system. If those 8 went bonkers mental and started to spend and give away the lot, there would be a massive redistribution of wealth. But they buy luxuries off already wealthy people who sell luxuries like massive yachts. They give a pittance away to good causes to make it look like they are decent people.

Compulsive spending is a symptom of a much larger mental health problem.

Compulsive spending is a symptom of a much larger mental health problem.

http://files.bmw-gs-club.de/200003597-d7c45d8bd5/150123%20Logo%20entwurf%20international.jpg

?

What I wouldn't give right now to be mortgage free, No idea how people manage it. Fair enough spend a small amount on yourself - small in terms of the amount given to you anyway, and use the rest to make yourself secure.

they stay put in one place and pay it off .. don`t pi$$ it against the wall and watch quietly while others fly all over the place and join the housin ladder late or have to rent.. still quiet whilst they bitch about house prices risin whilst been away.. sat in the newest kit available to go off on the pi$$ to the match....

There is an up side to such stories. Just like all the people who got PPI and other mis-selling payouts and many who get inheritances, spending it like wildfire helps to keep the economy going with spending. Spending that creates jobs and in the end £200k was distributed by one family to lots of people, so helping to pay their wages.

Meanwhile there are also plenty of people who on getting a windfall do pay off their mortgage and release extra spending for the years they would have had to give to the lender. They then drip feed the economy by spending. It pretty much amounts to the same thing, the difference being with the former it is all at one time and with the latter it is spread out over much longer.

The real problem are the eight people who have as much wealth as those 50% of the world population below average world wealth. Those eight people sit on much of that wealth or keep it close by. They also make sure as little as possible is redistributed via the tax system. If those 8 went bonkers mental and started to spend and give away the lot, there would be a massive redistribution of wealth. But they buy luxuries off already wealthy people who sell luxuries like massive yachts. They give a pittance away to good causes to make it look like they are decent people.

Shame then that Gates puts billions into his trust fund with his wife that helps all those people in Africa. And has stated he plans to put into charity about 99% of his wealth.

Need to stop reading the bullshit Oxfam reports I think. And Oxfam actually should get on with their charity work than creating such rubbish.

Ugh I have known tits like this also

What I wouldn't give right now to be mortgage free, No idea how people manage it. Fair enough spend a small amount on yourself - small in terms of the amount given to you anyway, and use the rest to make yourself secure.

Beefy right now I'm envious of you even being ON the ladder! I can't see a time in the near future where Jay and I can say the same...

First thing I'd do with that sort of money is give a load to my mum to get her out of any debt / pay her back for helping when I've needed it and get her out of the horrible bit of London she's in..

Then find me and Jay a nice house we could afford a mortgage on and put most of the rest into that. Keep a little bit in an ISA and savings for emergencies (Car dying, pipes bursting etc)..

The depressing thing is even £200k couldn't buy us a house round here