Should I just not pay my loans off?

When you owe a lot of money, there are a various reasons you may be tempted to simply not pay for the loans any more.

Perhaps you have enough money that you no longer need credit or loans , or maybe you simply cannot make the payments but do not believe that the lenders are going to do anything that would upset you as much as it would upset you to lose all that loan money.
Whatever the reason you have come to the conclusion that you can and should simply skip out on paying the loans, despite its obvious appeal, it is not a good idea.

 

Why to Pay Loans
For starters, the number one reason to pay your loans is because of the hassle that you will receive if you don't. Many people look at the "hassle" and think "well, hassle cannot be too bad."

But we are talking more than just someone calling you when you are busy. They can take you to court - which you have to attend - force you to declare bankruptcy and, if you continue to not pay them back, liquidate some of your assets. They can hire bailiffs that have the right to take your things at their leisure if you allow them into your homes. And they can go to court and try to get them to garnish your wages, meaning that even if you are able to avoid them, they are still affecting your life - and that money that you thought you would have that allowed you to skip the loan will be gone.

In addition, of course, not paying back a loan will completely ruin your credit score. Even if you are convinced that you have enough money that you can afford to have your credit score ruined, this will still affect you in emergencies. If you want to purchase a car, for example, even if you can find someone that will give you credit you will get an interest rate that is so high you are essentially paying back the loan in interest for other companies.

When Skipping Out is a Good Idea
Skipping out is never a good idea. There is no circumstance where not paying your loans can benefit you. If you cannot afford to live if you pay back the loans , then you need to contact the lending agency and see if you can work out a deal that will save you some money over the course of the loan. If you lost your job you can get it deferred, and if you have money but not enough to cover the loan, some lenders will allow you to extend the time you pay back the loan making the payments much lower.

If you take out a loan, expect to pay it back. Even if you choose not to make the payments, you will be paying for it in other ways that you may not yet realize.

 





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