A 27 year old youth got trapped in a debt of Rs 3 lakh due to wasteful expenditure. He is not able to repay the loan with his salary of Rs 23,000. When she sought help online, she was advised to cut down on expenses and gradually repay the loan.
Nowadays, the number of such youth is increasing who get trapped in the debt trap due to their own mistakes. The latest example of this is a 27-year-old boy who got into debt of more than Rs 3 lakh by spending recklessly on parties and expensive spas. Now he has appealed for help online. He shared his story on social media platform Reddit with the title “I got into debt trap because of my stupidity”. He has openly admitted his poor financial condition. Additionally, he has also shared a screenshot of the outstanding payments of his four personal loans and three credit cards.
Salary is only Rs 23,000, how to repay the loan?
Explaining his helplessness, the boy wrote, “Please give some good advice. I tried to apply for another personal loan of Rs 3 lakh to repay all these loans together. But seeing my current condition, all the banks rejected my application. Currently, my in-hand salary is only Rs 23,000. After taking out house rent and other essential expenses, I am not able to save even Rs 4,000 every month to repay the loan. I am.”
He told that he is the only earning person in his family. He has converted 80% of his credit card dues into EMI, but is finding it difficult to repay that too. Due to taking too much loan, his CIBIL score has also fallen from 770 to 765.
What did people say?
People have given mixed reactions to this post on social media. Users gave two main types of advice to the boy…
- Negative advice of settlement: One user wrote, “If no one is giving you a new loan, then stop paying all EMIs for now. Transfer the money to another account as soon as your salary comes. Later, talk to all three private lenders and credit card companies and ask for one-time settlement.”
- Positive advice for paying responsibly: Another user called this idea wrong and said, “Don’t make this mistake at all. You are only 27 years old, don’t spoil your credit history right now. Rs 3 lakh is not a huge amount, it is about 10 months of your salary. If you keep money discipline and work hard, you can repay this loan completely in the next 12 to 36 months.”
Most people praised the boy for admitting his mistake. He advised her that now she should put brakes on her luxury lifestyle and gradually improve her financial condition by making a strict budget.