Debt advice for moving abroad.

TheBeeMan316

I am planning on moving abroad in the next few months and have £14k approx in debt in the UK (credit cards and unsecured loans). 

I don’t plan on ever returning as I don’t have any ties to the country apart from friends and don’t have any significant assets in the country. I have a private pension of £10k but apart from that not a lot of money. The one catch is I could potentially inherit some money down the line and don’t want interest to incur on my debt in the UK that would mean when it comes time to inherit the money they cancel each other out.  

Any help is welcome. 

fatbelly

Uk debts of that type don't get chased abroad. They will write letters to the last known address, sell the debt a couple of times and it will go statute barred after 6 years.

Interest will only be added in the first 3-6 months until it defaults

MattMattMattUK

fatbelly said:

Uk debts of that type don't get chased abroad. They will write letters to the last known address, sell the debt a couple of times and it will go statute barred after 6 years.

Interest will only be added in the first 3-6 months until it defaults

I would say it depends on where the abroad is. I know someone who was pursued through the UK courts for a credit card debt from Australia and I also have a friend who faced legal debt recovery in The Netherlands from an unpaid UK credit card that they thought they could just walk away from. 

Of course it does depend how easily the debtor is to trace once they have moved abroad.

TheBeeMan316

fatbelly said:

Uk debts of that type don't get chased abroad. They will write letters to the last known address, sell the debt a couple of times and it will go statute barred after 6 years.

Interest will only be added in the first 3-6 months until it defaults

Hi thanks for the update, I currently have a DMP with step change that hasn’t started yet. Would looking at a DRO be worth considering?

sourcrates

A DRO is a possibility if you have lived in the UK for the previous 3 years, that would clear your debt as long as you qualified for one, which would clear the decks for you.

Or you could just leave things alone and see what came out of the woodwork, 6 years after everything defaulted, all your debts would become statute barred, if your not intending coming back here, I doubt you would hear from any of your lenders ever again.

TheBeeMan316

sourcrates said:

A DRO is a possibility if you have lived in the UK for the previous 3 years, that would clear your debt as long as you qualified for one, which would clear the decks for you.

Or you could just leave things alone and see what came out of the woodwork, 6 years after everything defaulted, all your debts would become statute barred, if your not intending coming back here, I doubt you would hear from any of your lenders ever again.

Thank you for the advice, is there no chance of the pursuing them abroad? 

Most of the debt is spread out amongst many lenders that’s sub £2k but ones about £5k with one lender. 

TheBeeMan316

TheBeeMan316 said:

sourcrates said:

A DRO is a possibility if you have lived in the UK for the previous 3 years, that would clear your debt as long as you qualified for one, which would clear the decks for you.

Or you could just leave things alone and see what came out of the woodwork, 6 years after everything defaulted, all your debts would become statute barred, if your not intending coming back here, I doubt you would hear from any of your lenders ever again.

Thank you for the advice, is there no chance of the creditors pursuing the debt abroad? 

Most of the debt is spread out amongst many lenders that’s sub £2k but I have about £5k with one lender. 

Apologies for the typos in the previous comment 

kevoxshockwave

TheBeeMan316 said:

I am planning on moving abroad in the next few months and have £14k approx in debt in the UK (credit cards and unsecured loans). 

I don’t plan on ever returning as I don’t have any ties to the country apart from friends and don’t have any significant assets in the country. I have a private pension of £10k but apart from that not a lot of money. The one catch is I could potentially inherit some money down the line and don’t want interest to incur on my debt in the UK that would mean when it comes time to inherit the money they cancel each other out.  

Any help is welcome. 

I am 3 years into running my UK debts into the statute. Wish I had started years ago to be honest (Ive been overseas for 11 years, but was paying the debts back until it became unmanageable 3 years ago). I can on this forum and received some sound advice from fatbelly, sourcrates et al. 

I monitor my mail via a 'uk postbox' service, so I can keep an eye on the post.

After the first year of increasingly threatening letters, and my debts being passed from Cabot, to Wescot, to PRA, back to Cabot, to Moorfiled, Cabot again, Wescot again, back to Cabot, etc etc... the letters just start repeating themselves and dry up. 

Wrexhamed1

Is there a moral aspect to this though? You've borrowed the money so should pay it back? 

sourcrates

Wrexhamed1 said:

Is there a moral aspect to this though? You've borrowed the money so should pay it back? 

We don`t deal with moral issues on these boards, we just provide answers to asked questions.