Failing Business Heavily in Debt 2nd Chance Possible?

[Justneeda2ndchance]

Why don't you just declare bankruptcy. After periodic payments of a fraction of what you owe, you will be discharged and can easily start again.

Declaring bankruptcy was an option that always come to my mind. But i am a strong believer of karma and in fact 300k is not a huge sum. Though it is huge enough to create some instability.

After consistent servicing of these debts i also continue to gain trust from my creditors. Which i think I'm doing fine.

It was just that some recent events among my family that they seems to get upset and impatient about my financial situation and started transfering that pressure on me.

 

[Justneeda2ndchance]

U have $300k debt. Let's assume u need to pay 10% interest per annum.

In the worst case scenario, if you don't pay anything or a substantial amount to pay off the debt, it will snowball to more than double in the 9th year. U are better off selling off your house to pay off your debt first and renting one room for $800 per month. Good news is u don't have kids, just u and your wife.

View attachment 46219

Bro, sell of flat monies goes back to cpf leh....

 

[Sir_Fcuk]

U have $300k debt. Let's assume u need to pay 10% interest per annum.

In the worst case scenario, if you don't pay anything or a substantial amount to pay off the debt, it will snowball to more than double in the 9th year. U are better off selling off your house to pay off your debt first and renting one room for $800 per month. Good news is u don't have kids, just u and your wife.

View attachment 46219

agree. get debt free first. rent or buy a 2 bedroom. start there. #presson

 

[sweetiepie]

My initial intention was to move my whole family into the new EA and rent out my parents whole house. However they are not keen to move in because they find it too "troublesome" to move house.

I didn't buy an EA because of the "greed" for a bigger space or whatsoever. It was a 1400 ft2 that cost 455k, which is cheaper than some 5 rm flat. It was a calculated decision because i was able to use all my cpf to cover the cost.

The reno loan was also an aid from my friend who had an ID company. He helped me do the basic reno at cost and refund the unused monies for buying new furniture and appliances. There was some remaining

KNN explain to your parents so that they will move to your house. if my uncle is right you cannot rent out your whole house due to mop unless you do it illeegaly or else you should move to your parent house KNN

 

[Scrooball (clone)]

With the exception of a property loan which is going to be paid off soon, i have zero credit card debt. Not to show off, but u guys need to learn how to manage your money intelligently.

For your credit card, make sure u overpay and leave some balance left inside. If you should ever to forget to pay your credit card bill in 1 month, u won't have to pay late charge and interest on it. Typically, i will overpay by about $500.

 

[Robert Half]

My only debt is the HDB loan that I need to service another 20 years.

I also have zero credit card debt.

Tough life in Sinkieland, no wonder people go JB buy unwanted houses.

 

[Boliao]

Debt is not a bad thing. Don't listen to Scrooball. What you actually need to do is consider your real needs and opportunity cost. Let me give you an example - I pay a monthly mortgage of $12,000. Looks bad? My interest from this $12,000 is ~$3,500 but if I were to rent the house I currently own, I would have to pay close to $9,000 in rent or more. So technically, I am making a gain of $6,000.

Sure, I can choose to stay in a cheaper place but I would still use the same financial argument. So it's is not about my residential choice but how I make financial decision. Instead of trying to pay off my loan at an interest rate of 1.6%, I invest the amount in low risk US equity and makes an average return of 8% in dividend. Some shares I bought a year ago - etc APPL, has already generated ~90% returns.

And don't overpay anything that you don't have to. It just takes discipline to pay on time.

Two years ago, I lost US$500,000 in the commodity market. Despite my training, it affected me for quite a while but I made myself forget about it completely and moved on. Focusing on doing the same thing I did, I have recovered almost 75% of that lost without even realizing/ tracking it.

at the end of the day, there is only two things you need to do..

1. Cut all expenses that is not a need and reduce all negative exposure.
2. Your loss will only affect you if you let it; so don't think about it again.

 

[Sir_Fcuk]

Debt is not a bad thing. Don't listen to Scrooball. What you actually need to do is consider your real needs and opportunity cost. Let me give you an example - I pay a monthly mortgage of $12,000. Looks bad? My interest from this $12,000 is ~$3,500 but if I were to rent the house I currently own, I would have to pay close to $9,000 in rent or more. So technically, I am making a gain of $6,000.

Sure, I can choose to stay in a cheaper place but I would still use the same financial argument. So it's is not about my residential choice but how I make financial decision. Instead of trying to pay off my loan at an interest rate of 1.6%, I invest the amount in low risk US equity and makes an average return of 8% in dividend. Some shares I bought a year ago - etc APPL, has already generated ~90% returns.

And don't overpay anything that you don't have to. It just takes discipline to pay on time.

Two years ago, I lost US$500,000 in the commodity market. Despite my training, it affected me for quite a while but I made myself forget about it completely and moved on. Focusing on doing the same thing I did, I have recovered almost 75% of that lost without even realizing/ tracking it.

at the end of the day, there is only two things you need to do..

1. Cut all expenses that is not a need and reduce all negative exposure.
2. Your loss will only affect you if you let it; so don't think about it again.

depends on the individual. i tend to listen to scroobal, get out of debt
some friends lost big but came back big
some friends lost big and never came back
the people who came back are tough, have street smarts and market savvy. have to be honest and ask yourself are you up to the fight

 

[Scrooball (clone)]

Debt is not a bad thing. Don't listen to Scrooball. What you actually need to do is consider your real needs and opportunity cost. Let me give you an example - I pay a monthly mortgage of $12,000. Looks bad? My interest from this $12,000 is ~$3,500 but if I were to rent the house I currently own, I would have to pay close to $9,000 in rent or more. So technically, I am making a gain of $6,000.

Sure, I can choose to stay in a cheaper place but I would still use the same financial argument. So it's is not about my residential choice but how I make financial decision. Instead of trying to pay off my loan at an interest rate of 1.6%, I invest the amount in low risk US equity and makes an average return of 8% in dividend. Some shares I bought a year ago - etc APPL, has already generated ~90% returns.

And don't overpay anything that you don't have to. It just takes discipline to pay on time.

Two years ago, I lost US$500,000 in the commodity market. Despite my training, it affected me for quite a while but I made myself forget about it completely and moved on. Focusing on doing the same thing I did, I have recovered almost 75% of that lost without even realizing/ tracking it.

at the end of the day, there is only two things you need to do..

1. Cut all expenses that is not a need and reduce all negative exposure.
2. Your loss will only affect you if you let it; so don't think about it again.

U said "I pay a monthly mortgage of $12,000. Looks bad? My interest from this $12,000 is ~$3,500 but if I were to rent the house I currently own, I would have to pay close to $9,000 in rent or more. So technically, I am making a gain of $6,000."

No wonder u lost US$500,000 to begin with! U are a fucking retarded clown!

Debt is a bad thing if u are not using your money for other business opportunities. And that is the case for the threadstarter here. He doesn't invest his monies at all.

 

[Reddog]

1. press on 2. don't siao and try any "get rich" stunts, that is trouble 3. press on 4. refresh yourself, get enough sleep 5. once refreshed, look for safe bets, like extra overtime pay, extra job 6. press on 7. don't care what people think

Please never forget Sir Fcuk's step 2. That's golden advice. Press on.
If this can help, I know where you are mentally. I was down $8 mil. Alone having been deserted by my 'best friends'. Only wifu left then. But that's enough on hindsight. It will be a long lonely road back. Thereafter, you will be stronger and invincible. As sure as the sun rises. Press on. Press on. Press on.

 

[AhMeng]

With the exception of a property loan which is going to be paid off soon, i have zero credit card debt. Not to show off, but u guys need to learn how to manage your money intelligently.

For your credit card, make sure u overpay and leave some balance left inside. If you should ever to forget to pay your credit card bill in 1 month, u won't have to pay late charge and interest on it. Typically, i will overpay by about $500.

Yep. Overpaying credit card by way of advance payment has been my practice for years. It's a good habit. I never have to look at the statement except for once every year, to call the fuging bank to waive their shitty annual fee.

 

[Justneeda2ndchance]

Pressing on pressing on... never give up

 

[Scrooball (clone)]

Yep. Overpaying credit card by way of advance payment has been my practice for years. It's a good habit. I never have to look at the statement except for once every year, to call the fuging bank to waive their shitty annual fee.

OCBC refused to waive off my annual fee cos i wasn't using their card much. I cancelled it promptly. Will apply after 1 year to qualify as 'new customer' for free gifts such as luggages. Whenever u wanna make a big purchase, go find out which card will give u freebies for spending. AMEX giving away Samsonite luggage if u spend a few thousand dollars. Easy to spend that if u book a holiday trip or buy a luxury good.

 

[AhMeng]

OCBC refused to waive off my annual fee cos i wasn't using their card much. I cancelled it promptly. Will apply after 1 year to qualify as 'new customer' for free gifts such as luggages. Whenever u wanna make a big purchase, go find out which card will give u freebies for spending. AMEX giving away Samsonite luggage if u spend a few thousand dollars. Easy to spend that if u book a holiday trip or buy a luxury good.

I am with UOB. Every month I just transfer 2 to 3k to the credit card account in advance. Strangely, i never look at their points reward for years. Don't know how to access.

 

[Froggy]

You all high SES using credit cards. I have to go to mama shop change money every time to cash. Even internet transaction I using cash in the form of Paypal deduct from my account straight away. Very cham because I too embarrass to show my gold card when everyone around me using Plat cards.

 

[sweetiepie]

I am with UOB. Every month I just transfer 2 to 3k to the credit card account in advance. Strangely, i never look at their points reward for years. Don't know how to access.

KNN what you did is actually like a debit card KNN. When my uncle made purchases using his credit card he will make payment shortly to the bank he should be applying debit card instead but he too lazy to apply. not sure how true some bank disallow customer to upfront pay the spending using cc KNN

 

[Scrooball (clone)]

You all high SES using credit cards. I have to go to mama shop change money every time to cash. Even internet transaction I using cash in the form of Paypal deduct from my account straight away. Very cham because I too embarrass to show my gold card when everyone around me using Plat cards.

Are u the type of clown who likes to wear a full gold Rolex too? lol

 

[Froggy]

Are u the type of clown who likes to wear a full gold Rolex too? lol

I'm afraid I do not have a full gold Rolex king. You got the wrong guy.

 

[Bad New Brown]

The best thing is having a debt free lifestyle. I had $90,000 losses in failed investments a decade ago

I managed to make a comeback through hard savings from my monthly paychecks and to achieve a self sufficient retirement fund

I cut off all unnecessary expenses like overseas vacation and I don’t even travel to Malaysia

Yes life is a lonely journey and nobody will help you except yourself so money is very important, don’t lose it unnecessarily.

An average man can have no women and no friends but he must earn and save enough money to last him a lifetime

 

[Froggy]

An average man can have no women and no friends but he must earn and save enough money to last him a lifetime

This problem solve if you go for regular therapy sessions. Of course charge to your boss.