# Debt and taking it abroad.....????



## Markham82 (Mar 23, 2012)

Hi Everyone, 

Just a a few questions that I'm hoping some one can assist with. 

Upon planning a move to Western Australia does having debt from the UK cause any problems i.e. a loan that would almost be finished. Ive heard that alot of people leave their debt behind, but I am not like that and I borrowed the money so therefore believe I should pay this back. Is there any banks recommended whereby I can transfer the money at no charge to the UK etc......????

Like in the UK families recieve Child benefit, does Australia have anything similar and how soon do you qualify for this payment, if at all??

When you move over, does your credit history start again and if so does this make obtaining a bank account (regular account) hard to obtain along with Credit Cards etc (not that I would plan on getting a CC).

Thanks in advance.......


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## Guest (Mar 25, 2012)

Your credit history starts from scratch, but you can help it along by having a bank account, paying your wages into it and once there apply to your own bank for a credit card. Many people get cards and even mortgages after not too long (if they can afford the aussie house prices that is)

I wouldnt use a bank to transfer money, they charge way to much and have terrible exchange rates. Use a forex broker much better exchange. 

If you are PR you can get family assistance from day one but it is means tested, but still better than the UK but large income you get nothing. But it includes child care payments and rebates of between 50 & 75% of your actual child care costs. Payments to help you raise children You wouldnt be entitled to parenting payment. 

Applies to all other benefits........
Newly Arrived Residents Waiting Period


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## jb12 (Jan 27, 2012)

Hi Markham82,

In your statement above, are you stating a lot of people that leave the UK to go to Australia or another country leave the debt behind with no plans to pay back? Wouldn't these people take a risk if they ever return back to the UK? I am sure that in the UK, citizens have some sort of tax ID or social security number that is assigned to every person that would identify them? I would think these companies would find a way to sue these people? Can't imagine what the interest would be on the loans or credit cards.

I am like you, if I have debt and I'm moving out of the country, I would still continue paying it wherever I am. If it doesn't catch up with these people now, it probably will come up later.


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## nonny1983 (Jul 20, 2011)

I paid most of my debt off before coming but have a little left on a loan outstanding but have left money to cover payments for 3 months after which I will transfer over. 
Technically you can't really run from debt, UK companies can sell on any debt to aussie companies who will chase you for the money. However if a debt has not been aknowledged for 6 years (meaning they don't find you or you don't respond to letters) then it is not legally enforcable. I will point out however that people who deliberatly take out a debt with the intention of fleeing the country and not paying back are committing fraud.
As shel says there is family assistance if you have pr but little else and there is an online calculator on the centrelink page so you can see how much you could possibly get depending on earnings. Also yes your credit rating starts fresh which I was annoyed about as we chose to bank with HSBC as we did in the UK and they assured us our credit would therefore come with us but uh uh no  told it only takes between 3 and 6 months tho to build enouhh for cards etc although I have to say its kind of nice actually owning everything (with the exception of the house obviously) outright.


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## nonny1983 (Jul 20, 2011)

Also shel can I ask how the forex brokers work please? We are due to send money back but get a charge of $40 a time, if I can save in that would be great!,


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## OzMove (Jul 20, 2011)

You have a few options. 

With a forex broker like "HIFX" (very good and UK based) you can send regular payments or lump sum. As some suggested the rates are better. 

If you open a HSBC premier account in Australia and one in the UK you are allowed to make free transfers between the accounts, this will save you about 20gbp per transfer.


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## nonny1983 (Jul 20, 2011)

I had a HSBC premier account in the UK but they charge a monthly fee for it so before moving I downgraded it to a regular current account because other than covering the remaining loan payments I won't be using it.


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