now an xpat but still have loan in uk

taizi

hello everyone

my name is paul and i am a uk citizen now living in china but i still have a loan from tesco in the uk

before i left the uk i contacted tesco about the loan asking to speak to someone about freezing or changing the agreement as i wish to be amicable and repay the loan as i had agreed when i took it out 2 years ago

I informed them that i have had a major change in my life and was leaving for china the following week and as a consequence had to give up my job and would not have the money in my account untill i find a job over here, i was told that i would have to default on the loan before i could speak to anyone about sorting it out, even after i had explained the above

my question is.. what should i do as i am an honest person and would rather not just default because the loan is attached to my parents address and i do not wish any trouble to arise from me defaulting, although my feelings towards tesco now is that maybe i should just cancel my direct debit with my bank because of their ignorance in dealing with this situation where i had informed them of my changes and stated on the phone that i wish to repay the loan but would be unable to due to having no job.

if i default and cancel the direct debit what would be the consequences for my parents address and what would happen to me on my return to the uk as i will have to for a short time in the summer, i am also now a registered resident in china and will be living here for good

please help as this is weighing on my mind and i have limited funds left in my account and a baby to look after

thankyou in advance
regards
paul

StuTheDon

Paul,

To give you a straight answer, your change of life circumstances is not really going to be a concern of Tesco. You agreed to a repayment schedule and if you dont meet that they will impact your credit record in the UK.

Your parents should not be affected as the report is for the individual and not the address, unless you are financially linked to them in some way.

The right thing to do (if you are as honest as you say) is to get a job and transfer money home to pay the loan.

If you cancel the direct debit they will defualt you, affecting your credit for 6 years in the UK. Remember now that some institutions have agreements internationally so it could follow you - although China is unlikely.

jonesMUFCforever

Can't believe a country like China would let in someone like OP without a job or a reason for going there?

DCFC79

Its easy, you start making payments when you get a job

bigadaj

I would not worry about the loan too much, but take care in china, regulation there is a little less diplomatic and outstanding loans may have an effect on your health. Reminds me of the scenes in Dubai as all the expats realised the work and money had gone, loads of beemers and range rovers abandoned at the airport as they realised that if they didn't pay their loans in the middle east they would quickly get slung in jail.

taizi

thankyou everyone for the advice, it took me awhile to find the post again networks funny out here

i moved out here to be with my chinese wife and new son who i hadn't seen since his birth 10 months ago, my wife and i couldn't afford to live in the UK and we were living at my parents house, and although i had a reasonable job as a mobility engineer and my wife had a stall in camden market we were finding it really hard and we were not entitled to any form of help and i was tiring of paying lots of tax and working long hours for alot less than someone on benefits i have always been employed and never claimed benefits
the life out here is alot more affordable than the UK and there are more opportunities for my wife because she is a fashion designer and is also starting a new business here

i still have funds to tide the loan over for a couple of months and have some possible job offers which i am working on in the local schools as an english teacher, so i will continue the repayments and hope it all works out

again thankyou for the advice just wanted to ask people that know more about this than myself, its helped to get it off my chest

kind regards
Paul