# Debt back in the UK



## carolineB (Jun 15, 2009)

Dear All!
I have my temporary spouse visa and living on the GC. It sounds awful and it's only an idea but has anyone left some credit card debt behind in the UK and just stopped paying the payments on the premise you'll never return to the UK to live? My worry is that my credit history may be checked at some point when applying for a mortgage and/or permanent visa/residency. Does anyone have any experience or advice?
Thanks a lot
Caz x


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## feeb09 (Jun 15, 2009)

*good qu.*

No idea I'm afraid, but very interested on any replies anyone may give! I may soon be in a similar position.. and also on the GC!

Good luck


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## weelee (Sep 15, 2008)

carolineB said:


> Dear All!
> I have my temporary spouse visa and living on the GC. It sounds awful and it's only an idea but has anyone left some credit card debt behind in the UK and just stopped paying the payments on the premise you'll never return to the UK to live? My worry is that my credit history may be checked at some point when applying for a mortgage and/or permanent visa/residency. Does anyone have any experience or advice?
> Thanks a lot
> Caz x


Hi there,

I am sure that when you have immigrated to oz you start with no credit status but when you try for a mortgage they ask you for credit references from your previous country, dont you think it would be better for your conscience to clear your debt and not risk putting everything up in the air because of a debt.

weelee:boom::boom:


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## Dolly (Feb 17, 2008)

We don't have a mortgage so not sure on what documentation would be required.

Just did a bit of googling and came up with this:

Requirements may be slightly different for each state but most commonly asked for documentation will be:

Bank Statements showing your saving history for the past 6 months (including term deposits)
Two most recent Pay slips or Group Certificates for the past 2 years
Originals (& copy) of 100 points ID Check
Passport with photo - (70 points)
Current Drivers License - (40 points)
Credit Card, Medicare Card, Utilities Bills in your name - (25 points)
Evidence of shares and other investments
Contract of sale/purchase for the property if available

So, it looks like as long as you can prove you can afford the repayments, the lender won't check your credit history back in the UK. But, of course, there is always that chance that they might.

It's a dilemma because if you don't disclose your debts and they do check, the chances of you getting a mortgage from most lenders will be pretty low. It's a risk.

Dolly


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## kaz101 (Nov 29, 2007)

I have to say it's not a risk I'd be prepared to take. 

Companies do merge and so databases and information gets shared....

I know this seems obvious but have you spoken to the credit card company to negotiate a deal? I have a friend in the UK who's got into some debt (she had to change her job for less money and her husband's been made redundant) and she's been making some good deals with mortgage and credit card companies because they are willing to negotiate since they know that there are people in financial difficulty right now. Might be worth a shot....

Regards,
Karen


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## carolineB (Jun 15, 2009)

*Thanks so much*

Dear All - thanks a lot. Good advice, I'd rather keep everything above board and it's a good idea to contact companies individually for help. Cheers again


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## Pooks (Feb 4, 2009)

I was reading about this the other day.

Basically..

>There is no agreement between the UK and Australia.
>English companies can not enfore CONSUMER debt to any Australian debt collecting company - i.e. they can send you letters (if they find you) but aussie companies can not harrass you or anything as UK consumer debt is not valid in Australia.

There was aload of other information but basically, aslong as the debt isn't so bad, and you have tried to pay it back,then it will be written off as bad debt. But will remain on your UK credit file for 6 years.

There is always the moral aspect to consider. But no-one has the right to judge whatever you decide as know one knows your real circumstance.


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## kaz101 (Nov 29, 2007)

I agree no-one knows the members individual circumstances but if we imagine one possible case (and it may not be valid here) where someone has run up consumer debt because they can't handle their spending (and I'm not saying that's the case here) then if that isn't sorted out in the UK then the same behaviour will happen here.

The reason I mention this is that this topic has come up several times and what people don't always realise is that although they have a new start they still take the 'old' person with them for the new start. So habits and behaviours tend to be similar unless someone really wants to change. 

And companies to merge and information can be shared then. This has been happening a lot in the current climate and then no-one can really say what will happen.


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## Pooks (Feb 4, 2009)

Kaz is right in what she says about some companies merging..but remember, even if they do, they can not enforce consumer debt. They can try... but they can not - legally.

*I found what i was reading the other day - below:*


I will try answer this as best as I can as I work in the Credit Industry and worked in it in Australia for a number of years (up until I moved in 2006).

All Debt Collector’s and Collection agencies in Australia must act by the Consumer Credit Code 1993 and the Privacy Act 1988 these acts cover all debts for every state and territory in Australia.

So if you run up a Credit Card debt in NSW and then Move to WA they can chase you for it. You will need to read up further on TAS as they have special laws, which can exempt them from certain things, like judgements, etc etc.

There are a few Credit Reporting Agencies in Australia, they largest is Baycorp Advantage (recently changed to Veda Advantage), which holds a Credit File on everyone, the second is Dun & Bradstreet – they only really hold files mainly on people who have been reported to them.

Under the Consumer Credit Code and Privacy Act, there is no agreement in place to take action on any debt that was made outside of Australia (except New Zealand).

*Some UK Debt Collection Companies may have Partner Companies in Australia, they usually don't/cant transfer the debt. But if they do, it still does not affect your Australian Credit Rating. All it means is that instead of the UK Company chasing you for the debt then their Australian Partner would, but regardless this would not affect your Australian Credit Rating.*

Also remember that the UK has a completely different Credit Reporting System. In the UK if you miss 1 mortgage payment then it shows on your Credit File that you where late with one payment, where as in Australia nothing is allowed to be reported late/unpaid/default on your file unless it is at least 60 days overdue, and for that to happen they also have to send you a Section 80 Notice to let you know that your Credit Rating with Baycorp will be effected if you don't pay within 30 days.

If you have got Debt in UK and they are chasing you, then you are probably getting calls and letters saying that they will damage your credit rating Australia or they will take you to court in the UK.* This is all aload of crap, they cant do squat your credit rating, and no country will extradite someone over a normal debt.*

Just remember, the only things that can go on your Australian Credit File are Debts from Australia/New Zealand.
*
Any UK debt in a rare case may be sent to a partner collection company in Australia, but it still would not affect your credit rating.*

So the UK Cannot really enforce anything, as they have no jurisdiction over Australia. The worse they can do is threaten you with letters and calls, and then maybe pass you on to a Aussie company who can only send you letters asking for the money or an arrangement.

*Remember in Australia it is against the law for any debt collector/collection company to threaten you with an action they cannot legally take. So if you get a letter from an Australian company telling you they will take you to court or take your house etc etc then report it straight to the ombudsman.
*
I hope that helps if any? But here are some sites.

Consumer Credit Code –
Uniform Consumer Credit Code

Baycorp Advantage – Now called Veda Advantage (you can order your own credit file here)
www.mycreditfile.com.a...fault.aspx

Australian Competition and Consumer Commission (tell’s you what Debt Collectors can and cannot do)
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Privacy Act 1988
www.austlii.edu.au/au/...pa1988108/



But like Kaz says.. you can take the debt from the person... but can you take the person from the debt.....


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