UK debt, living in China.....help

[half_the_world_away]

Okay, firstly thanks in advance for any help with this, I'm in a pickle and it's much appreciated.

 

So, basically I have UK graduate account overdrafts with HSBC and Natwest, I left the UK a year ago and have no plans to return for the foreseeable future, I am currently living in China.

 

Natwest is £900 overdrawn

 

HSBC is £1500 overdrawn

 

HSBC is fine, its reduced by £500 a year, I can manage that (just about)

 

However, Natwest are now saying that they have changed policies and will now be charging me £90 in INTEREST alone until its the overdraft is repaid.

 

Firstly, £90 a month is sheer madness. I only earn around £3-400 a month out here, so the interest alone is impossible as its almost a third of my entire monthly income, let alone repaying the actual amount owed from the overdraft.

 

The Natwest account is registered at my elderly parents house from 5 years ago before I went to University, I haven't lived there for 5 years now. I'm worried they are going to start having bailiffs turning up and debt collectors calling them day and night.

 

So, what do I do?

 

I am willing to try and pay this amount back but cannot do so if I am being charged ludicrous interest rates like this. I need maybe another 12 months to pay it all back. So far Natwest are refusing to budge and saying it is what it is.

 

Do I run from the debt and just try and forget about it as they cant do anything to me whilst in Asia, or do I try and kill myself by paying these insane interest rates. If I do I literally cannot afford to live anymore as I am only just scraping by each month at the moment. Having a third less money each month is pretty much the decision between eating or paying rent.

 

So stressed about all this at the moment, its mainly my parents I am worried about as I dont want them to have to pay for my mistakes.

 

Thanks

[SWLABR9]

How is Natwest getting in touch with you, through your Chinese address or are they still writing to your parents?

[half_the_world_away]

How is Natwest getting in touch with you, through your Chinese address or are they still writing to your parents?

 

They are writing to my parents address. Should I give them my Chinese address?

[unclebulgaria67]

Yes you should write to them, advising that you are resident in China, with a copy of any proof of this e.g any document that confirms you are resident at a Chinese address. Then both HSBC and NatWest should record their files and your credit record that you are outside the UK. This is very important, as both HSBC and NatWest will at some point sell these debts off to Debt Collection Agencies (DCA's). The DCA's when receiving the debts should check your records and once they note your are abroad, should not contact any UK address. Also they should not take any court action in the UK, as you are not a resident of the UK. They could pass to a Chinese DCA (if they exist) but I don't think they can enforce a UK debt in China.

 

Ask both HSBC and NatWest to confirm that they have received your letter and have noted you are resident in China.

[half_the_world_away]

Yes you should write to them, advising that you are resident in China, with a copy of any proof of this e.g any document that confirms you are resident at a Chinese address. Then both HSBC and NatWest should record their files and your credit record that you are outside the UK. This is very important, as both HSBC and NatWest will at some point sell these debts off to Debt Collection Agencies (DCA's). The DCA's when receiving the debts should check your records and once they note your are abroad, should not contact any UK address. Also they should not take any court action in the UK, as you are not a resident of the UK. They could pass to a Chinese DCA (if they exist) but I don't think they can enforce a UK debt in China.

 

Ask both HSBC and NatWest to confirm that they have received your letter and have noted you are resident in China.

 

Thanks you so much. Really sound and helpful advice. Im in the process of doing as you requested right now.