Leaving the Country with debt

destino

Due to a family emergency I have to live the country for an unknown period (probably a couple of years or more). However I have debts here in the UK which are being dealt by CCCS, a phone contract and a car lease contract. I am spending all of the money that I have on my ticket home so cannot afford to repay any of the debts or contracts. My original plan was to go bank-corrupt but that would cost over £700 and I don't have that money. So I need advice on what I could do as I would like to be able to come back to the UK at some point.
Also paying the debt from the other country would be impossible due to the currency difference and low income of the country. (Ie I would have to spend a whole months wage to pay £150 a month towards my debt - which is what I am paying now)

Malkin157

It is likely that your creditors (or some of them) will take you to court and obtain CCJs against you. This will mean that you could still be chased for the debt if/when you return to the UK, as it prevents a debt from becoming statute barred.

Its also possible (although not that likely) that a creditor could petition for your bankruptcy. Any creditor who you owe more then £750 to could do this, although they are more likely to do this if they think you have assets in the UK, less likely if you do not.

FireWyrm

It should also be noted that if you are moving to the country within the EU, then they can purue you internationally for the balance. It is likely you will incur CCJ's in absentia which will severely damage what credit rating you have. I'm not sure if this works internationally too, but I know that DCAs from Italy (for instance) have been known to pursue someone to the UK so I asusme it works in reverse.

antonic

Also they can get a CCJ against you at your last known address - if you have gone abroad by the time they do this it will stand.

As a CCJ lasts 6 years and isnt statute barred , they can still pursue you if you ever return to the UK.

destino

I know all that, what I would like to know is what re my options - other than to never return to the UK

FireWyrm

destino wrote: »

I know all that, what I would like to know is what re my options - other than to never return to the UK

1) Pay it all off before you leave the UK
2) Set up a standing payment arrangement from your new country into a bank account in this country from which payments are taken regularly.

Note that banks dont like unqualified international transfers, and you might fall foul of the money laundering rules and find your account here in the UK summarily closed.

Really, option 1 is your best bet.