- wecare@debtrelief.com.sg
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Our Clients' Story
Business Failures
Starting a business is truly rewarding, but with great rewards comes great risk. Many go in with high hopes and dreams but external factors can contribute to its failure. Multiple clients we face find themselves in debt due to this. For example, Client X started out too with a dream, to open their own bus company and succeed well.
Taking out a few loans accumulating to over thousands, they set forth with a plan for the business. But as time went on, business dwindled and circumstances happened, resulting in the business venture failing and they were left with interests piling. Despite finding a job soon after, they were still unable to pay back the debt accumulating and were left without an option.
Coming to us for assistance, our advisors were able to apply them under an ideal scheme which allows a manageable repayment plan.
Scammed by a Loved One
Sometimes, it’s the closest people around you that causes the most heartache. Out of love and care, we would risk anything for them but what if they decided it’s not the same for them? Client X was a victim to that, allowing themselves to be played and used by the person they trusted most.
Client X’s girlfriend had spoken of dreams and wishes to open a company under the guise of independence and what’s best for them both. Client X agreed and decided to take out a loan, wishing for her success as they gave her the money to invest into the business idea she had in mind. Upon receiving the money, she decided to leave him, taking everything without returning any. The debts began piling afterwards and Client X felt scammed, seeking for help from us to get them out of this predicament.
After consulting with us, we produced a plan and proceeded to apply them to the Debt Repayment Scheme offered by the government. This allows them to have a manageable repayment plan while also freezing their interests.
Loss of Initial Income
It is said that you should save at least 3 months worth of your monthly income in case of retrenchment, but many do not have the luxury to follow that rule. They rely on their incomes to pay off their bills and support those around them. But in the recent years due to the intensity of the pandemic and the effects on the economy, many had suffered from retrenchment and thus, losing their source of income. Client X was one of them.
They were an accomplished and successful person, holding a Master’s degree as well as an income with figures reaching 6-digits. Nobody would have expected to find them in bankruptcy now. Due to the pandemic, they had found themselves suffering from retrenchment, losing their previously high income and throwing their quality of life out of balance despite finding a new job. The pay cut was significant, causing their previous commitments such as bills and loans for medical expenses unable to be catered for. As time progressed, the debt snowball and soon they were left with no option but to seek help.
Our advisors looked through their accounts and with debts accumulating to over $200,000, we deemed it was fit for them to file for bankruptcy. This allows them a more manageable repayment plan while also able to meet their monthly expenses.
Scamming Syndicates
Have you seen those videos and advertisements on streaming sites, promoting their financial investing platform as the best with great rewards? The promotion seems well put together with professional insights, it’s easy to believe it is real. Many fall for it, putting in their life savings in hope that they’ll grow or loans to further diversify their income, but there’s always a catch. These are known as scamming syndicates and multiple clients are victims to this. This client was one of them.
Client X was a hardworking individual but despite working hard, their salary was never enough to fully support themselves and their family. So, when they came across this company, hearing its reviews and the products they produced, it was easy to have faith and leap. Taking out a loan, they had high hopes but months had passed with no fruits to bear. Soon, the interests were starting to snowball and debt started piling in. Client X came to the realisation that they were scammed but it was too late, the debt incurred was over $200,000 by then.
Client X came to us seeking help with the increasing debt but with the huge amount, there was no option left but filing for bankruptcy. Luckily, Client X was able to find a donator, covering almost half of their debt and leaving them with a little over $113,000 to pay themselves which granted them eligibility for the Debt Repayment Scheme (DRS), allowing a more manageable payment routine.
Debt Snowball
Debt snowball can occur to anyone, it’s important to reach out for assistance earlier on then letting it build up further. Unfortunately, one of our clients did not and soon found themselves in a questionable predicament.
Acting as a guarantor for a car, they failed to meet payments after three months resulting in repossession of the vehicle but despite that, the payments were still there and required to be paid. However, our client wasn’t able to and soon, it began snowballing. It started at around $2000 but soon forgot about it, living through years before getting hit with a sudden letter indicating that the debt had increased close to $100,000. This not only shocked them but now they came to a realisation that they are ridden in deep debt.
In need of help, they reached out to our advisors where we applied the best plan available for them. Our advisors assist them in managing their documents and ensuring the process is smooth, leaving them with a more manageable plan to repay their debt.
Medical Assistance
There’s a misconception about debt, where those who incur them are depicted as lazy or irresponsible. There are some bad apples, but the majority are trying their best to make ends meet. Some abuse their credit cards to support their family while others take out loans to aid them, for home costs, medical bills, etc. So, despite working hard and giving their all at work, our client found themselves in debt after struggling to pay their significant other’s medical bills.
Not being Singaporean, Client X’s partner was not able to receive subsidies despite the ongoing need for medication. Facing a possible disability in their leg, they required help and so our client decided to take out a loan to assist them. It was an act of kindness and love but despite that, their partner soon left and refused to pay the loans they took out for them. This left Client X in severe debt and feeling scammed. Unsure what to do afterwards, they seek help from our advisors.
Our advisors assessed their credit balance and were able to find a suitable scheme for them where it caters to their flexibility and allows a more manageable repayment plan.