Questions tagged [debt]
The debt tag refers to all situations where money is owed to another party, often a bank or other financial institutions. This tag covers how to get out of debt, how much debt to carry, and other borrowing related questions.
446
questions
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5answers
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Why don't most people file Chapter 7 every 8 years?
Please explain to me why more people don't follow a formula like this:
Converting all their assets into exempted assets (for which there are tons of options, regardless of your state -- ERISA-...
2
votes
0answers
50 views
How many “Charge Offs” can a company put on a single debt?
A while ago I took out a loan and couldn't pay it off due to loosing my job. I got another job, and before I could start making payments, a collections agency called me up about the loan. I paid it ...
0
votes
1answer
44 views
General price lowering and debt hypothetical
Assume for a moment that the CPI accurately encompasses all prices. Also assume that I have $100 of outstanding debt. Let's now say that the CPI decreases by 25%. In real terms, this change in CPI ...
7
votes
1answer
1k views
Does paying down debt in an S Corp decrease profitability?
Long story short - I'm a participating shareholder of a small S Corp that has debt.
At the end of the year, since it's an S Corp, the profits/losses are passed down to the shareholders to be reported ...
1
vote
1answer
44 views
The term “debt financed” as a source of payment for doing the Acquisition, is it?
I have a question for word phrase "debt financed" in Acquisitions but for my best understanding, I would like to ask a question on random example: Let's say we have three companies: CompanyA,...
1
vote
2answers
172 views
Which should I pay first, Car Loan vs Zero-Interest Credit Card Promo?
I have a new car loan for $12k at 7.74%, and about $10k in old credit card debt that I just transferred to a card with a ~20% APR after the initial 13 month zero-interest promo. (So, I am not being ...
3
votes
2answers
182 views
Does credit score show you are a responsible borrower or a profitable client for the bank?
This might be a silly question, but I'm trying to wrap my head around how the US Credit Score works. I'm from Europe.
Credit Score represents creditworthiness, which as I understand it, represents a ...
2
votes
4answers
537 views
Why do most companies have debt and are there any companies without debt?
Somewhat inspired by this question. It seems that no matter what company I hear about, they always have some sort of debt to someone. Even if the company is in great financial shape and makes tons of ...
0
votes
2answers
123 views
Is it possible to keep mortgage after bankruptcy?
If one declares a bankruptcy, can he or she keep his/her mortgage account and continue repaying it, while erasing all the other debts? In general, is it possible to negotiate to keep some credit ...
5
votes
5answers
2k views
How can one be financially devastated by unsecured debt?
My question is theoretical, I don't understand why people say that big piles of debt are dangerous. If one has a lot of unsecured debt and ends up defaulting on it then one does not even have to ...
1
vote
1answer
72 views
Creditworthiness of counterparty
Based on historical evidence, a B-rated counter party is approximately 16 times more likely to default over a 1-year time period than a BBB-rated counter party. Over a 10-year time period, a B-rated ...
2
votes
2answers
140 views
Question About Medical Bill Defense
So, I've been researching for a quite a bit and haven't been able to find a case or ruling that relates close to my situation.
I went to a sleep specialty physician about four years ago who was ...
0
votes
0answers
65 views
Disputing a collection on an account that is current, but the collection agency wants the original debt amount
I have a surgery bill (Original Balance: $2,757) that I have been paying off for the past 2 years with auto-drafted monthly payments. Every month on the 1st a payment was auto-drafted from my checking ...
0
votes
2answers
201 views
Debt in a foreign country
I have spent couple of months in Lithuania in the beginning of this year. I signed up for a gym membership for 1 year. But due to covid, I left Lithuania and came back to my non-EU home country. (I ...
25
votes
5answers
10k views
If a bank fails, will debt be wiped out?
I have debt to Capital One. If they fail, and whoever the trustee is fails, will the debt eventually get lost in bankruptcy proceedings?
Considering the Lehman bankruptcy is still ongoing, well past ...
2
votes
4answers
252 views
Do companies destroy value when they borrow to pay dividends?
When public companies pay dividends, their stock price will be reduced by the amount of the dividend. This makes sense to me, but I'm wondering if this applies when companies borrow to pay dividends (...
2
votes
1answer
349 views
So I was used as a money mule and now I have a CIFAS marker I desperately need to get rid off?
so some time back I was used as a money mule without realising by someone I trusted very much. Once he had everything he wanted (money) he then blocked me leaving me with a debt of more than £5000. I ...
1
vote
1answer
129 views
What are some good reasons to buy U.S. Government debt (Treasury bonds)? [closed]
Treasury bonds issued by the U.S. Government are considered virtually risk-free, because they are backed by the U.S. Government's ability to tax in order to pay them off.
I understand that Treasury ...
0
votes
4answers
383 views
Stuck in a debt of 3 credit cards
I have 3 credit card and I have utilized the funds of these cards 100%. Now I need to pay back the amount to bank. I am from Pakistan and the currency is PKR. Here is the stats:
Card 1 - 4.5K (cash ...
0
votes
3answers
114 views
The most efficient way to pay off loans/credit? [duplicate]
Supposed you have a fixed amount of money to commit every month to debt repayment... well above all minimum payment requirements. All other quirks and conditions being equal. The only differences ...
5
votes
2answers
513 views
What happens if you don't pay your credit card debt in Germany?
Thanks to COVID-19 I've lost my job, and I spent my money right and left very stupidly, and now I am in credit card debt of €3000.
The bank blocked my account due to nonpayment for 3 months, and today ...
7
votes
2answers
1k views
Are there countries where children are forced to inherit their parents' debts?
Are there any countries in the world where the debts of the deceased must be inherited by the deceased's heirs?
In the UK and USA, it seems to be well understood that if the deceased's estate is ...
1
vote
1answer
88 views
Where can I see at what price a company's debt is trading at?
I was reading Barron's today and came across the below quote -
Hertz’s debt somewhere in the range of 30-40 cents on the dollar. If
the stock actually were worth something, the debt ought to ...
0
votes
4answers
330 views
Is this method of getting free money viable and consistent with law?
A lot of credit cards these days give you an interest free period, say 24 months. They also allow you to transfer debt for a small fee, let's say 4%. This means if you keep the moving the debt around, ...
1
vote
1answer
74 views
Trying to understand the behavior of the bond market during the COVID19 crisis [closed]
I'm aware of several corporate bond indices that are (slightly) going up despite of the COVID19 crisis. For instance, let's take this corporate bond index as an example.
Choosing the 1Y chart one can ...
0
votes
0answers
94 views
What would happen to a typical investment portfolio if the dollar collapses?
Let's say I have an investment portfolio with diversified US stocks and diversified US bonds. How would a dollar collapse affect this portfolio?
And which component of the portfolio is less likely ...
0
votes
2answers
110 views
Is it better to start a new business using credit, even when I have money to invest
Suppose I have to start a new Limited Liability Company and the initial investment is 50000 dollars. Let's also suppose I have that money. No problem about it!
Now let's suppose something goes wrong ...
3
votes
2answers
148 views
S/O out of collections, where to go from here?
My S/O and I have been together for ten years (not married). We started attacking all of our debts starting October 2018 in order to move into a house debt-free (except a mortgage) in 2021.
My last ...
1
vote
0answers
34 views
Understanding overnight debt fund portfolios
I'm trying to understand the differences between overnight funds and a bank savings account
or fixed deposit in terms of safety. These are both common ways to park money for short
periods.
I know that ...
0
votes
0answers
38 views
Mutual Funds Investment advice needed for beginner
I am planning to start investing in mutual funds now. I am a beginner and young(28). I plan on doing investments as a lump sum and SIP. I plan to invest 5 lakhs via lump sum now and SIP of 20k per ...
1
vote
1answer
59 views
How to define the state of “in debt”? [duplicate]
So I was reading on Forbes and it said a 2017 survey showed that
28% of workers making $50,000-$99,999 usually or always live paycheck to paycheck, and 70% are in debt.
I wonder what kind of ...
0
votes
3answers
206 views
Fastest way to pay off debt
What is the best order to pay off debt? Only debt being home loan.
For example, my home loan has interest rate of 3.5% and the stock market (some total market fund, e.g., FZROX, VTSMX), ideally, goes ...
2
votes
5answers
321 views
Downside of having a zero-interest loan for long time
I am able to get a zero interest loan (APR 0%) of €10k for my small business and I have to decide the debt repayment period (12-60 months).
Mathematically, because interest rate is zero I should ...
3
votes
0answers
103 views
When do UK creditors pursue a debt after the debtor has died?
According to StepChange, creditors don't normally pursue a debt of someone who died if there isn't a large estate:
Most unsecured creditors will normally write off a debt (like a personal loan or ...
0
votes
1answer
77 views
What kind of debt is an unpaid tution bill?
If someone doesn't pay their tuition to a university, is that considered student loan debt, consumer debt, or something else? I mean for the purposes of debt forgiveness (e.g. i think consumer debt ...
-3
votes
1answer
136 views
How likely is a total economic collapse due to the potential coronavirus impact? [closed]
Most signs show that lockdown could easily stretch through the summer. A freeze in consumer spending would cause multiple industries to fail causing a ripple effect.
To be specific, if lockdown lasts ...
15
votes
6answers
7k views
How, or should I repay debt during Covid-19 crisis?
During Covid19 pandemic I managed to save some money and I was thinking about repaying some of my debts, however, I'm not sure should I do it, or keep cash just in case things turn for the worse. This ...
2
votes
0answers
25 views
Where are business obligations, like a property lease, on the debt seniority ladder?
Consider the perspective of a REIT. If one of the REITs tenants files for bankruptcy, does the REIT get paid first to satisfy the terms of the lease or do the tenant's bond holders get paid first?
I'...
0
votes
0answers
54 views
Loan for outstanding school balance
I have a an outstanding school balance of around $7,000 dollars from the 2015-2016 school year and need it to be payed off in order to transfer to another 4 year university. I wanted to know if there ...
1
vote
1answer
157 views
Is there any disadvantages of paying off mortgage? [duplicate]
Usually when we think about paying off mortgage it always seems a good idea as this is one of the biggest debt for most people. I was curious if there are any disadvantages of paying off mortgage ...
13
votes
5answers
10k views
Pay off Credit Card Debt now or later
I recently paid a non-refundable housing deposit of $1,300 for summer intern housing. The company I am going to work at this summer has outlined in my contract that I will receive $2,500 to cover ...
3
votes
6answers
471 views
Overpay student loan or mortgage first?
I am aged 23 and make £48000 a year. I have 2 sources of debt at the moment, my student loan and a mortgage I have just entered.
Student Loan Details:
Amount: £42775.54
Interest Rate: 5.4%
Monthly ...
-2
votes
1answer
335 views
Im 19 years old and is buying a $45k car with it? [duplicate]
Im 19 years old and share rent with someone. I make $2,320 a month before tax. My rent is $750 a month and i don't pay for anything else. Would it be a good idea or will i go into crippling debt if i ...
6
votes
1answer
497 views
Upside down on car loan, sell and refinance gap?
In order to cut down our monthly expenses we are looking to sell our car. We still owe $12,000, kelley blue book says its worth around $10,000 and we don't have $2000 lying around to cover the gap.
...
1
vote
1answer
46 views
Is a foreign equity holder liable for business debt?
I'm an Indian citizen residing in India. If I get 20% equity in a US company, am I responsible for the company's debts (current and future debts)?
Note that this is a sweat equity (no money invested)....
0
votes
4answers
903 views
Sugar Daddy/Bank Help [duplicate]
I met this guy on Twitter who was interested in a sugar baby with someone to speak with, get to know, etc. He lives in IL apparently and I’m in the east coast. Initially he wanted me to buy a $200 GC ...
1
vote
1answer
146 views
Cannot pay enough to mitigate late/overdue fees on credit card. What is the best way to handle this?
I've tried working with a credit card company over late fees/debt. I can of course make some payments, but they're always lower than the overdue fees they continuously charge. In other words I'm ...
-1
votes
3answers
473 views
If I really did owe the bank a billion dollars, what would happen? [closed]
There's a saying that goes like "If you owe the bank $100 dollars, that's your problem; if you owe the bank $100 million, that's the bank's problem."
Let's adjust for inflation and say that I owe the ...
1
vote
3answers
138 views
On a statement of Dalio and the case for gold
Last night I was watching the following videos https://www.youtube.com/watch?v=YVLJRGA5uAk and https://www.youtube.com/watch?v=AhDrvQiNV5M&t
I am considering the bet on gold with respect to his ...
5
votes
3answers
412 views
Employer will refund me the cost of college, should I risk going further into debt?
I’m currently working towards paying off my debt. It’s something I despise. I had some emergency hospital bills come in this year. That and I have two new cars that I bought and they have turned out ...
