Why are people not able to pay back loans

[Profwriter]

What causes bad debts, can bad debts be avoided, have you ever taken a loan and you were unable to pay back?

Lets hear from you

In Nigeria here, it's very tough if you take any loan without paying back, the debt recovery team from your creditors company will embarrass you and harass you publicly. They will so much disgrace you that you will be too ashamed to come out of your house and at the end, they will take all your properties, including the ones you used as collateral and the ones you didn't use.

There are people who are able to pay back their loans and they have a track record of not owing anyone, but what really makes people not able to pay back their loans?

 

[Olajidey]

The reason why some people fail to pay back a loan is that they borrow to start a business and during the cause of the business there might be some challenges that pass their power and will be forced to quit the business, this is one of the reasons why people fail to return loan money.

 

[sincerem]

I think everyone have issues he or she faces. Sometimes issues become over load on them and they became confuse in life and that can make them to forfeit paying back an outstanding loans. It is best we stay clear from what we can't pay than just borrowing and allowing it to accumulate to even larger amount that will suck down our assets. I don't borrow loans cos i know the implications, i stay clear from it to manage my life the best i could.

 

[Yugocean]

If you take a loan, then it is your duty to pay back, there are many corrupt people world-wide who cheat banks, they take the loan and never return; such activities will only destroy the financial institutions. However, banks should also behave, they should go with proper rules that have to be followed on defaulters.

 

[Alexandoy]

In my life of generosity I have lost count of people who failed to pay me back the money I lent them. That is why I have changed my attitude towards lending money - no more of that. I would give you money if I see that you need help and that I can help you. But I will never lend you money because I will lose you as a friend.

 

[Teatea]

If you go through the right platform to get a loan, there is no embarrassment or harassment involved like banks. It is this loaning platforms that are just sprouting that disgrace people.
The reason why people are not able to pay back is because they collected the loan for the wrong reasons which will not yield more money and so it turns into a bad debt. Some people opt for loans in business when they can actually thrive well without it.

 

[Segat]

Paying back your loan is a sign of integrity and it can really make people to trust you the more. Paying back of loan is what you should plan for when planning to get the loan. It should be made a priority as you started making profit from the business.

 

[Victor001]

It's easier to get loan,than paying. Most people try as much as possible to not end up having regrets for giving loan. If you give out loan,always have an alternative collateral to match the loan else the probability of getting the loan back is mostly futile,some people override others meekness when they get loan,they feel is an entitlement.

 

[Kingsley]

People find it difficult to pay back the loans they obtained in good faith because of some underling reasons, first they accessed those loans for the wrong reasons, they pretend to obtain the loans for business purpose but end up using it for personal needs and some people spend reckless not been able to save back the loan.

 

[Timison]

This happens because the loan I collected for the wrong purpose e.g paying of rent or using it for marriage purpose, or probably the business the loan was used for did not develop properly

 

[Profwriter]

In my life of generosity I have lost count of people who failed to pay me back the money I lent them. That is why I have changed my attitude towards lending money - no more of that. I would give you money if I see that you need help and that I can help you. But I will never lend you money because I will lose you as a friend.

This is so pathetic, I have experienced this severally after loaning out money to close pals, they won't even make any attempt to pay back, and when you ask for the money, they turn it to quarrels, at the end of the quarrel, the money is still not paid and the friendship is over. I have adopted that principle of not lending anybody money. I try to help as much as I can.