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Debt is a monetary burden that most individuals attempt to handle responsibly, however some will go to excessive—and infrequently ridiculous—lengths to keep away from paying what they owe. Whether or not it’s bank card balances, scholar loans, and even mortgages, individuals have tried weird schemes to flee their monetary obligations. Whereas a few of these methods are laughably absurd, others have landed individuals in authorized hassle, making their debt scenario even worse. Listed here are ten of the stupidest methods individuals have tried to get out of paying off their debt.
1. Claiming They’re No Longer Alive
Some of the determined—and dumbest—makes an attempt to keep away from debt is faking one’s personal loss of life. Some individuals have gone so far as forging loss of life certificates, staging pretend obituaries, and even convincing family and friends to lie on their behalf. The issue? Lenders and authorities companies aren’t simply fooled. Banks and collectors typically confirm loss of life claims, and faking your loss of life is a federal crime in lots of international locations. As a substitute of wiping out debt, this rip-off normally ends with fraud prices and even jail time.
2. Mailing a Literal Envelope Filled with Pennies
Some individuals suppose they’ll “technically” pay their debt in a approach that frustrates collectors a lot that they’ll simply surrender. One notorious trick is mailing an envelope full of pennies or a complete truckload of unfastened change to a lender. Whereas it’s true that authorized tender legal guidelines imply corporations should settle for reputable forex, banks and lenders aren’t required to course of funds in an unreasonable format. Many establishments merely return the fee and proceed charging late charges.
3. Arguing That Debt is “Unlawful” Based mostly on Conspiracy Theories
A bunch of so-called “sovereign residents” consider that debt is unlawful and that they aren’t obligated to repay loans or bank cards. Their argument is that the U.S. authorities and banks function underneath a secret monetary system that doesn’t apply to them. They ship weird authorized paperwork full of nonsensical authorized jargon, claiming that their money owed should be erased. Unsurprisingly, courts don’t acknowledge made-up monetary loopholes, and these individuals normally find yourself in deeper authorized hassle.
4. Sending a Stop-and-Desist Letter to the Financial institution
Some debt dodgers suppose that sending a cease-and-desist letter to their financial institution will by some means erase their monetary obligations. Whilst you can ship a letter to cease aggressive debt assortment calls, it doesn’t get rid of the debt itself. Lenders don’t simply neglect about unpaid loans as a result of somebody despatched them a strongly worded letter. As a substitute, they typically escalate the case, take authorized motion, or ship the debt to collections—resulting in even worse monetary penalties.
5. Altering Their Title to Escape Debt Collectors
A surprisingly massive variety of individuals have tried legally altering their identify, assuming that their debt will disappear with their outdated identification. Nevertheless, debt isn’t tied to only a identify—it’s linked to Social Safety numbers, addresses, and monetary historical past. Banks and credit score companies nonetheless observe debt underneath earlier names, so this trick accomplishes completely nothing—besides the trouble of submitting authorized name-change paperwork for no cause.
6. Marrying Somebody and Transferring the Debt to Them
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Some individuals suppose they’ll escape debt by getting married and by some means dumping their monetary burdens onto their partner. Whereas marriage does merge sure monetary duties, money owed incurred earlier than marriage sometimes stay the unique individual’s accountability. Some debt dodgers have even tried divorcing proper after transferring belongings and loans to their partner, hoping to stroll away debt-free. Courts aren’t fooled by this trick, and most lenders nonetheless maintain the unique borrower accountable.
7. Shifting to a Distant Nation to “Disappear”
Some debtors consider that transferring overseas means their debt will magically vanish. Whereas it’s true that some lenders gained’t pursue small money owed internationally, massive unpaid loans, unpaid taxes, and government-related money owed (like scholar loans) don’t go away simply since you go away the nation. In some circumstances, lenders can nonetheless work with worldwide assortment companies, freeze accounts, or stop a debtor from returning residence with out monetary penalties. Operating away hardly ever works—until you intend to utterly reduce ties with trendy banking programs ceaselessly.
8. Suing the Financial institution for “Emotional Misery” (Continued)
In a weird try to erase debt, some individuals have really sued their lenders, claiming that having to pay their payments induced them emotional misery. Whereas debt can completely be hectic, this argument doesn’t maintain up in court docket. Debt is a authorized obligation, and simply because somebody finds it inconvenient doesn’t imply they’re entitled to a free cross. Typically, the lawsuit is dismissed, and the debtor finally ends up owing much more attributable to authorized charges.
Even worse, if the lender decides to countersue for unpaid debt and authorized prices, the debtor could also be in an excellent deeper monetary gap. The court docket system isn’t sympathetic to individuals who file frivolous lawsuits in an try to keep away from monetary accountability. As a substitute of erasing their debt, they normally find yourself including to it.
9. Pretending to Have Amnesia or “Forgetting” Concerning the Debt
Some debt-dodgers suppose that taking part in dumb will get them off the hook. They declare they don’t keep in mind taking out the mortgage or opening the bank card, hoping the lender will simply drop it. Sadly for them, banks and collectors preserve data of each transaction, and conveniently “forgetting” doesn’t make the debt disappear.
Some scammers have even tried to pretend amnesia or insist that another person fraudulently opened the account of their identify. Whereas identification theft is an actual concern, falsely claiming fraud is a critical crime. If the lender investigates and finds out the declare is fake, they could pursue authorized motion for fraud, making the scenario far worse than simply having unpaid payments.
What Occurs When These Methods Backfire?
Making an attempt to recreation the system to keep away from paying debt hardly ever works—and infrequently makes issues a lot worse. Individuals who try these ridiculous methods typically discover themselves dealing with:
- Lawsuits – Lenders can take authorized motion, resulting in court docket judgments that make the debt even tougher to flee.
- Wage Garnishment – Courts can order a portion of the debtor’s paycheck to be robotically deducted to repay the debt.
- Ruined Credit score – Unpaid money owed and failed scams can destroy credit score scores, making it troublesome to purchase a house, get a job, and even hire an condo.
- Financial institution Account Freezes – Some lenders can get court docket approval to freeze accounts, that means debtors can’t entry their very own cash.
- Felony Prices – Fraudulent makes an attempt to keep away from debt, equivalent to faking a loss of life or submitting false lawsuits, can result in fines and even jail time.
The Smarter Different: Going through Debt Head-On
As a substitute of attempting silly methods to get out of debt, individuals ought to deal with actual options that really work. Choices like negotiating with lenders, organising fee plans, consolidating debt, or working with a credit score counselor might help individuals get again on observe with out resorting to shady techniques. In some circumstances, submitting for chapter might even be a reputable final resort that wipes out sure money owed legally.
Debt can really feel overwhelming, however avoiding it—or attempting ridiculous schemes—will solely make issues worse. The neatest transfer is to take accountability, make a plan, and deal with the debt head-on earlier than it spirals uncontrolled.
Have you ever ever heard of somebody attempting a loopy trick to dodge debt? Share your ideas within the feedback!
Learn Extra:
Would Jesus Use a Credit score Card? The Ethics of Debt in a Trendy World
7 Surprising Methods Hospitals Can Assist You Slash Your Medical Debt
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Latrice is a devoted skilled with a wealthy background in social work, complemented by an Affiliate Diploma within the subject. Her journey has been uniquely formed by the rewarding expertise of being a stay-at-home mother to her two youngsters, aged 13 and 5. This function has not solely been a testomony to her dedication to household however has additionally supplied her with invaluable life classes and insights.
As a mom, Latrice has embraced the chance to teach her youngsters on important life expertise, with a particular deal with monetary literacy, the nuances of life, and the significance of interior peace.
