Tuesday, March 16, 2010
Money Rant Vol. 1 - Bankruptcy
Reason #1, business failure. You're living the American Dream. The products are flying off the shelf or your services are being tapped from every direction. Life is good...at least you think. Something catastrophic happens. An employee sues your ass off after an accident. Maybe one of your vendors screwed you over and your product required a huge recall, crushing your reputation and thus crippling your revenue stream. Maybe you are just trying to sell the wrong product to the wrong set of clients (think Patagonia Retailer in Jamaica). At some point though, your business is worthless and you owe more money to everyone and their dog than you could make in a lifetime.
Whine to me about how Bernie Madoff stole your grandma's retirement, fine. She still gave someone her money to invest instead of opening CDs or any number of secure investment options. If you invest more than you can afford to lose, you deserve to lose it all.
Reason #5, medical bills. It's hard to throw a stone at a cancer victim or their families. I will say, that life and medical insurance should be mandatory for any self-respecting adult, but job loss prevents these in some cases. Because this is more individually based...I'll refrain from any sweeping generalization. I will say though, if you had an opportunity to purchase insurance (medical, life or supplemental) and chose not to because you couldn't afford it...you still made that decision. Unfortunately your family members are the ones who have to deal with it once you die...or hopefully survive.
I'm sure there are exceptions out there like identity theft...guess what you were the victim and thus it wasn't your fault...unless you are too stupid to not give the phishing scheme your bank account number and PIN.
Why should your debt be erased? What kind of person walks away from their debts and expects to be "forgiven" on their credit score in a couple years? This goes against every moral fiber in my being...folks that's not saying much for you. The fact that my old boss filed for bankruptcy because he's a low life, later foreclosed on 2 homes (he blames others...see #4) and has nearly perfect credit now makes me want to vomit. America is a very litigious society and this is what we get for it. People can walk away from all responsibility as long as they fill out the proper paperwork and have good council.
I would like to see people who break the rules get punished instead of a helping hand. People who take responsibility for their decisions and actions are the ones being punished and carrying the weight for their slacker counterparts.