# Banking/loans



## sandbox (Dec 26, 2010)

Hello all...
The family and I are moving to Dubai soon and looking forward to starting a new chapter in our lives. I'm in the process of sorting out possessions here in the US. Upside down home loan, leased vehicle and a purchased vehicle. Can't sell the house due to housing market. Can't break the lease on car #1. Can't sell car #2. I'm employing a lawyer for some drastic measures with the house and thinking about just handing the cars over to the dealer. I realize the detrimental affect on my credit score here in the US, and don't really care. My question to anyone in the know is will these actions come back to haunt me in Dubai???? Is there a credit reporting system and if so...do they refer to credit in ones home country?? Our home in Dubai will be company provided, but how does the auto loan system work?

Thanks, and any insight will be greatly appreciated.


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## Gavtek (Aug 23, 2009)

No, your debt in the US will not be considered in Dubai. As long as you have a residency visa, can provide a salary certificate from your employer and show that 2/3 months worth of salary payments have been made into your local bank account, that's usually all you need to get a loan here.


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## sandbox (Dec 26, 2010)

Thanks...clean slate it is then...


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## Jynxgirl (Nov 27, 2009)

Curious how this question will be answered. Anyone asking the same thing about leaving this stuff in dubai... well, would be bombarded.


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## sandbox (Dec 26, 2010)

Yes...understood. I know they are hardcore about that in the UAE


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## Jynxgirl (Nov 27, 2009)

Personally, I find it appalling that people leave their loans and their vehicles in ANY country and go to another to act like they have a clean slate. It just leaves everyone else, world wide, bearing the brunt of someone else's finanical mismanagement. WOOO HOOO way to go on clean slates. 

Someone really needs to hurry up with the world wide credit system!!


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## sandbox (Dec 26, 2010)

AIG, Citibank, Chase, Wells Fargo, Sallie Mae, Freddie Mac, JP Morgan, Lehman Bros....


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## Hash4272 (Sep 26, 2010)

sandbox said:


> AIG, Citibank, Chase, Wells Fargo, Sallie Mae, Freddie Mac, JP Morgan, Lehman Bros....


most of the companies have merged, all have gotten bailouts and some even bankrupted


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## Elphaba (Jan 24, 2008)

sandbox said:


> AIG, Citibank, Chase, Wells Fargo, Sallie Mae, Freddie Mac, JP Morgan, Lehman Bros....


Two wrongs don't make a right...
-


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## Canuck_Sens (Nov 16, 2010)

Couple of things that you might/ can consider:

a) you can short sale your house. Some lenders are accepting this and it will for sure ruin your credit score. 

b) You can rent your place out (best option I think)

c) Not sure where you are in US, but there are nice deals to ship your car over and some people have done it. You do not need to bring at once. Take your time and then do it.

d) I hope you have a line of credit facility set up in any bank in US that you can rely on. Although, you can get loans here, interest is high and the legal effect on default can bear/ end up criminal charges. Some employers offer 0% interest free car loans/ company car

e) Try to figure your finances before coming here. Rates are not going up in US ..so your adviser might have told you to lock in variable since there are these laws that were passed that allow you to renegotiate your contract with no penalty? Also, by sorting out your finances your score will go up since you will have fewer bills in your US cards


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## Dozza (Feb 17, 2009)

Jynxgirl said:


> Personally, I find it appalling that people leave their loans and their vehicles in ANY country and go to another to act like they have a clean slate. It just leaves everyone else, world wide, bearing the brunt of someone else's finanical mismanagement. WOOO HOOO way to go on clean slates.
> 
> Someone really needs to hurry up with the world wide credit system!!


I will second that! If you cant afford it, dont purchase it, that is my attitude anyways!


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## sandbox (Dec 26, 2010)

Thanks for the info. Unfortunately I cannot legally rent the place out. I've hired an attorney to handle the "Deed in leau" process. I'm not intending to default due to lack of $ or responsibility, it's just an amazing opportunity for us to move to Dubai. I just don't want there to be any impact once I'm over there.


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## Moe78 (Oct 29, 2010)

Yes two wrongs don't make a right BUT why should these companies get away scot free (and they have for the most part) while normal folk suffer with little or no relief?

As for debt in Dubai, it is ridiculously strict with the need for proper regulation. The penalties are ludicrous and are incompatible with the way things are run here.


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## Canuck_Sens (Nov 16, 2010)

sandbox said:


> Thanks for the info. Unfortunately I cannot legally rent the place out. I've hired an attorney to handle the "Deed in leau" process. I'm not intending to default due to lack of $ or responsibility, it's just an amazing opportunity for us to move to Dubai. I just don't want there to be any impact once I'm over there.




UAE is a cash based society. It is not like North America where everything is based on credit. We don't have a specialized credit bureau for startersso you will do just fine.

Just bear in mind to rely more on cash than cheques/ credit when here. Use your US cards when needed.


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## sandbox (Dec 26, 2010)

Thanks...we intend to.


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