£6000 Debt Grew To £116 000
If you don't repay a loan, and a lot of time passes, the debt can grow to unmanageable proportions, as happened to an unfortunate borrower in Manchester in the United Kingdom.
A grandmother has been forced to put her house up for sale after she ended up owing a massive £116 000-on a £6000 loan. Esther Osei, 57, borrowed the money in 1988 to pay for her father's funeral and to buy a new cooker for her Clayton home.
But she could not meet the cost of the loan and 18 years later, the amount she owed had grown to £116 000 ... Esther said: 'I borrowed the money when I was grieving for my father. I just signed the papers.'
When the lender applied to take possession of her home, Esther sought help by going to the North Manchester Law Centre. Lawyers negotiated a deal at Manchester County Court . . . A law centre spokesperson said Esther should never have entered into the loan agreement. 'It was a very high rate of interest.'
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