Debt in another country

[Animal_Kingdom]

I am a PR in Canada and have been here over a year now. During the immigration process, my wife and I incurred approximately $20,000 in debt in the UK, which we have been struggling to pay back since I've moved here. We are at the point where we've realized it's not possible to pay it back and have sought advice from debt management companies both in the UK and in Canada. The British companies have told us they are unable to help as I am now living abroad, while the Canadian companies have told us they are unable to help because the debt originated outside of Canada.

Has anyone here had any luck with dealing with debt management after moving to Canada? What company did you use?

One of the Canadian companies told me, off the record, that I don't have to pay the British debt back since I'm not living there anymore. I understand that would mess up my credit there, but I don't plan on moving back so I don't require a good credit rating in the UK, but would this affect my credit in Canada? From what I understand, the debt is written off after 6 years of non-payment. Would I still be able to enter the UK to visit during that time? Is there any legal action that would be taken against me?

 

[NetMecca]

Debt does not generally affect your ability to travel and cross borders. Debt is civil (unless fraud is involved) and therefore should not affect your ability to return to the UK either. Depending on who you owe the moneys to, they may or may not pursue legal action to attempt to get it back. Yes it will affect your credit rating in the UK, however not likely have an affect on your credit in Canada.

If you are having trouble paying it back, my best suggestion is that you contact the company in the UK directly and explain your situation (inability to pay) Perhaps negotiate better terms or terms that would make it possible for you to pay it back over a longer term, if you cared.

Good luck

 

[Animal_Kingdom]

Thank you