Hi

i know this has been probably asked a thousand times but I'm just not sure where I stand.

I am due to emigrate to Australia and have OS debt in the form of CCs and loans.

I have always intending on paying them and will be leaving enough money in my UK bank to service them for the next couple of months.

However I'm worried about what will happen if I fall behind in payments and cannot continue to pay them when in Oz.

I have prepared letters informing all my creditors that I will be residing overseas (not told them where).

It is my intention to not come back in the near future.

Any advice would be great feel ill with worry just want to give my kids a good life and jobs mean we need to move.

P.S lm in Scotland the now & 2 credit cards pre 2007 with MBNA

Thanks

Best advice is to stay in touch with creditors by giving them your new address. The worst that can happen is that they write to you, but atleast you know what is happening. If you hide, then you will have constant worries and they will trace you pretty quickly. Australia has great public records and you will be found within months, so it is pretty pointless. Also if this ever gets to a court, you can evidence that you have tried to deal with it, as best as you can.

If you are not in the UK at the time of creditors wanting to go to court, then they cannot do much, if they know you area abroad. I don't believe that they can go directly to an Aussie court, unless they have a UK court judgement. But you should check when in OZ, as there may be different rules depending on what state you are resident. Each state varies slightly in what the courts can do.

Keep in touch with creditors

Do your best to make payments

When you are struggling let creditors know asap in writing. Pay what you can and if they don't want to accept, that is up to them. Sometimes creditors won't accept low payments.

If you do this, then you will be in control.

Worst thing to do is hide and they get a UK court judgement which they try to transfer to OZ.

Some people choose to leave it until they have left the UK, before they contact creditors, because they don't want the hassle before they leave.

Thanks for your reply.

Can't stop worrying and wish we weren't moving sol could sort this.

I thought of applying for bankruptcy but haven't got round to it as been so busy.

Could I deny the debt and go for stature barred if l can't afford payment?

Thanks again

Just be aware of the following points.

1. Not giving them a full address could result in them seeking a ccj at the last known address just before it becomes SBd resulting in the CCJ by default.

2. Investigate how bankruptcy can impact on emigration. It may not, but then some countries have strange rules.

Thanks for your reply. Can't stop worrying and wish we weren't moving sol could sort this. I thought of applying for bankruptcy but haven't got round to it as been so busy. Could I deny the debt and go for stature barred if l can't afford payment? Thanks again

The problem that you have is that you would have to subject all your finances to a person appointed to deal with bankruptcy to show that you were insolvent. They would question how you were paying to go to live Australlia, when you could not pay your UK creditors. If you are selling houses, cars etc to finance the move, you would have to declare it.

You cannot really deny a debt that you have been repaying. You could just leave the country, then advise your creditors that you cannot make any repayments until you know what your finances are like in Australia. Then if you did not make any payments for 6 years they would become statute barred. CAG does not condone debt avoidance, but some people choose to do so, because they have to move on. It would damage your UK credit record and if at anytime an Aussie Bank wanted you to supply your UK credit record, it would not look good. I don't think Aussie Banks can check UK credit records without your permission, due to the UK Data Protection Act.

Nb. As sabresheep advises, Aussie authorites will check your financial position. But if you already have the visa, then it may not be an issue, as you would have already gone through the relevant checks.

Just be aware of the following points.

 

1. Not giving them a full address could result in them seeking a ccj at the last known address just before it becomes SBd resulting in the CCJ by default.

2. Investigate how bankruptcy can impact on emigration. It may not, but then some countries have strange rules.

Thanks for reply. I've written letters to say lm going oversess & will no longer b resident in UK. No forwarding address.

Would u recommend l provide one?

Can l do bankruptcy from oz?

I have added a reply. You should confirm your Aussie address, as explained.

You can declare UK bankruptcy from abroad within 3 years of leaving, but it is more expensive.

If you search online for bankruptcy from abroad, there is a company that deals with it.

They are apparently helpful to people who phone with enquiries.

Be careful that you don't have to confirm any UK bankruptcy to anyone in OZ.

This could include the Aussie government, Banks, Insurance companies etc.

Uncle thanks.....would u recommend providing my address? Have enough money to service payments for next few months. Would it be worthwhile asking for a final settlement or offering something (not much as lv not got it)?

You could ask about full & final settlement, but they are not usually interested. They would write off any debt against tax and if they sell the debt on, they will get a certain value for it. Banks don't really lose, as they created the money in the first place as a debt obligation for you to pay, they will have earned interest to date and if you stop paying the debt still has some value to the Bank. There is an interesting video on Youtube about Banks and money creation, which is interesting. This is partly why the Banking crash happened, because Banks magic up money to lend to people.

They will tell you to continue to maintain the contracted payments for as long as possible and to inform them when you cannot do so. They would then prefer reduced payments for a period, to see whether your finances improved.

You should provide your Aussie address and then you are aware what is going on. They can't then get a sneaky UK court judgement in your absence, because they don't have a foreign address on record. Oncr they get a UK court judgement it is easier to transfer to OZ

Thanks uncle

Hi

Posted on here before and advice l received was helpful.

I am now in oz & have continued to service my CCs and loans

however we are beginning to struggle and I'm not sure how long we'll be able to continue payments.

I have notified all companies that I am overseas and where possible have given them My current overseas address some will not accept overseas address and I do not want to give family members address.

I am just wondering what the best course of action would be..

...I have two mbna's that I have had for years and years so not sure if I can request CCA as they may not be enforceable.

Also how would l request these with the £1 postal order when I am overseas in oz?

I have been told that if l am not planning on returning to the UK in the near future then l shouldn't worry as the debt in unenforceable here.

Ideally I would prefer to continue paying or come to some sort of arrangement just need to know we're l stand legally.

Thanks

If you cannot pay, it is simply a case of stopping the repayments and writing to tell creditors this. Advise them that you are a permanent resident of Australia and asking them to confirm that they have noted this.

They cannot get a UK court judgement if they know you are outside the UK and without a UK CCJ, they cannot enforce in Australia.

You may get some hassle, asking you to complete income & expenses info to verify that you cannot make payments, but you don't have to communicate with them, if you don't want to, after you have notified them of your position.

Your debts will eventually be sold on to a debt buyer and you may start getting communications from international debt collectors. They will hassle you for a short period, but they cannot do anything, whatever they might say.

Thanks uncle, I'll get letters done today.

Uncle would I need to send letters recorded delivery of us normal post ok? Thanks again

Dear Karen,

Please have a look at my thread from 2012.

http://www.consumeractiongroup.co.uk/forum/showthread.php?334182-In-Australia-with-UK-credit-card-debt.&p=3682262#post3682262

Our financial circumstances have not changed.

I am seperated and working night shift to make ends meet.

I have not been in contact nor paid anything towards my debt since the thread in 2012 and have not heard from a bank nor debt collector with regards to paying.

There is no point in making yourself sick as I did - if you cannot pay, don't.

If I was in your position, unless I was going to move back permanently, I wouldn't write to them.

You are not in a position to pay and the written communication they send can be intimidating and make an already stressful situation even worse. I talk from experience here!

All the best, uktooz.

Just wanted to keep myself right & ensure they've updated my details with my overseas address so they can't get s sneaky ccj

I would send by normal post, unless you want to pay fir international recorded which is quite expensive.

Don't worry too much. The Banks dud not worry too much when thry gambled and cost the UK hundreds of billions in bail out money.

If the Australian postal system offers a free proof of posting, at least obtain one of those. That way you will have proof that it has been sent.

Thanks for your replies x

l've got letters all typed up & ready to post but feeling nervous about being chased for debt

but equally don't want to cause the owners of my last address in UK any hassle especially since my parent la live not far from them.

Do l post them & then l can ignore any further contact?

I'm hoping that l will eventually be able to service the debt when on our feet.

Thanks K

The advice was to write to them and get confirmation they know you are in Australia, which means providing an Aussie address for them to reply to.

You seem to be saying that you are afraid to provide your Aussie addess and will just advise them you are in Australia ? Have i read it wrongly ?

The idea is that you want creditors to write to you in Australia, so you know what is happening with the debts. They can't enforce the debts in Australia without a UK court judgement which they should not get as you are not in the UK. The worse thing you can do is ignore and hope it goes away or you may deal with it at some point. All you have to do is open any letters received and most will just be standard letters chasing the debt. Other letters may say the debt has been sold and it is important you know who the new debt owners are, so you know a different company is chasing the debt.

You cannot be harmed by letters chasing debts. Anxiety may be worse not knowing what is going on.

Thanks uncle, in my letters l've provided my full postal address so l can received communication.i'll get them posted today. Thanks again

So I've sent letters & had my first reply from N-Ram asking me to contact them by phone. Don't really want to but should l? Thanks

Yes, if they have acknowledged you are in Australia. You would have to phone early evening your time for when they open their helplines. Just tell them you are permanently in Australia and your position. They will try to get you to make a payment. Do not do so, as it is trying to show you can make payments from abroad, in the hope this helps them. Of course if you are not paying from Australia, there is not much they can do about it.

Phoning them is backing up what you wrote to them. Get a name of who you speak to. You do not need to give them your phone number in Australia and it is not wise, as otherwise you will get phone calls in the middle of the night.

Quick update & hopefully looking for some more advice.

My husbands father (same name) has received a debt collector letter from N-Ram asking for contact within 48hrs.

What should we do?

They have our address here in oz. Should l call them?

Also would it be advisable/possible to declare bankruptcy (for Scotland) from oz?

Thanks