Debt Overload - Leave the country??

skylight

Hi - first time poster to these boards (long time lurker!)

However, its general advice really - hubby and I owe about £42k an live in rented accomodation.

Our only assets are 4 kids and a car. Cant sell the kids (tried that!!!) and we would have to sell the car anway to help cover debts.

Hubby has been offered the chance of work in Southern Ireland. I know it is very unetheical, but could we just up sticks and go? Could they follow us to southern ireland for the money?


I am well aware that should we ever come back, we would have the debts to face (and we are trying very hard to cover as many as possible).

Or, would it be better to declare ourselves bankrupt before we left to keep everything legal? Hubby currently works and I don't (which therin lies the problem, I decided not to work last year)

So its general advice I need please. Websites to check out, that sort of thing. I can find plenty of advice about bankruptcy, but no so much info about just leaving (cos its naughty).

And yes - I am a bit blase about owing money - just to explain, one of our daughters nearly died last year, so when everything is put into comparision, life to cash, paying it back became less important.

Thanks
Charlotte

JULIE

If your blase about owing money..... does that mean your blase at spending it....ie if you go to ireland for a fresh start will you get into debt over there too???

Not meant to be offensive!!

skylight

Sorry - think blase was not the right world to use - but no offence taken!

I do worry about owing money, but I dont lose sleep over it. I do get upset sometimes about the phone calls and the letters but ultimately I have more important things to worry about.

We are trying to clear off the debts - its happening slowly and we have no intention whatsoever in getting into debt again.

Debt_Free_Chick

I think the problem with upping sticks and leaving the country is that, these days, financial institutions tend to be global - so they operate, perhaps under a different name, all over the World. There's a good chance that your creditors could track you down to Ireland.... especially as it's in the EU. So, you might get away with it ... but I would never suggest it as a way that will "100% work".

Bankruptcy could be an option. Here's some stuff to read about what's involved.

http://www.nationaldebtline.co.uk/england_factsheets/factsheet_01.php3

https://www.insolvency.gov.uk

JULIE

I'd love to stay and yap but I really must do the dinner........ will update myself tomorrow... sorry x

BrokeBrokeBroke

We don't owe that much, but we have left the country. It obviously is at the back of my mind that we need to get stuff sorted or I wouldn't be checking these boards all the time. It's nice to be away from the phone calls/letters, but I do think we'll feel better about having a fresh start if we sort everything out at some point. Trouble is, I don't even know what's going on! We could have had court summons and all sorts since we've been here! I think we'll be trying to sort some kind of arrangement out with Payplan or someone like that, and try and make payments from over here.

mattp_3

Unfortunately creditors can actually file for your bankruptcy in your absence and so running away isn't really a good idea - it only takes one creditor to track you down (via bank accounts, video rental stores, council records etc) and then the information will be shared via the Credit Reference Agencies.

You are much better to tackle the problem head-on and get it over and done with - you can always continue to make payments through a free DMC from abroad - but many people still have to live with that underlying fear that "one-day" the creditors might track them down.

It's certainly worth discussing your options with an advisor, even if you just go bankrupt before you leave the country, at least you can start to rebuild your lives without having to worry about covering your tracks and being paranoid when you come back to the UK?

Give Payplan, NDL or CCCS a call and get their expert opinions.

Karma67

I have read this post with interest, and have a query....

I was under the impression that you could not immigrate to another country, apply for residency, etc, if you have debts.
I thought you had to have actual 'savings' and could prove that you would not be a 'burden' on the new country's economy?

Have I got this incorrect??....Just wondering because my hubby's and my debts (total around £13k), and poor credit rating, has stopped us from applying to NZ to live,(where my Dad lives now).

tightgit_2

Karma67 wrote:

I was under the impression that you could not immigrate to another country, apply for residency, etc, if you have debts.
I thought you had to have actual 'savings' and could prove that you would not be a 'burden' on the new country's economy?

I know this applies to Canada, US, Australia ,NZ but I don't know if this is the case in other EEC countries.

mattp_3

To apply for permanent migration to Australia and New Zealand this is true yes.

You also need to prove that you can either provide a much needed trade to the country or create a business that will generate $x,000 per year to pump money into the country's economy.

I think this could be the same for the Yanks?? (not sure though)

Karma67

tightgit wrote:

I know this applies to Canada, US, Australia ,NZ but I don't know if this is the case in other EEC countries.

Thanks for clarifying that up tightgit, I was getting excited that I may be able to immigrate at last then ! lol