Is Canada system linked to the one in the US?

Hi hockeyen

Hope that you have a good stay in Canada. But as you know that you have some unpaid bills in your account which needs to be paid by you only. So the creditors or the collection agencies will definitely try to contact you in your mailing address. Don't delay in making the payments otherwise it will put the interest on your principal amount. If they don't get to hear from you, they will use every means to locate you and then you might find yourself in tougher situations sooner or later. It's sensible to pay your debts and that also in due time rather than escaping it.

Regards
Roxette

[quote=hockeyen]I have a few unpaid CCs (total of about 7K) in the USA and I'm about to move to Canada - for good. I have never filed for bankruptcy. Will Canadian creditors know about my unpaid bills in the US? :([/quote]

This is quite risky. And can damage your credit if you ever return to the US. In addition, in your new country, you would have to establish credit again. It is difficult starting from scratch. Sometimes, people get a statement from their bank or credit bureau to verify that they are worthy of credit in this new country. So you may be burning a bridge that you may need one day to establish credit in your new country.

And there is an added risk because if the debt is large enough, the company can take your debt to an international debt collection agency. They will track you down and file a court proceeding against you. This has been done before but it is not common. And some countries have treaties with other countries regarding the pursuit of international debtors. So just be aware of the risks when you make such a decision.

http://www.debtconsolidationcare.com/forums/about122.html

Read the post by Pammila, I am sure it will answer your query.

Vikas

Interesting, I had not as of yet ran into anyone saying they had been pursued into another country for debt, honestly didn't think they could unless it was high stakes where maybe the secret service was brought in on ID Theft charges. I know there is also OFAC (name search list that looks for terrorists and thus freezes US accounts if matching).

It is a complicated subject to know all angles.

I have to look, see what I can find more on this subject, might have a direction I can look and report back what I find.

Hi Pamela and all the other helpful moderators. Your website is changing my way of taking things.

I'm in a similar positon as I have accumulated Credit Card and Personal Loan debts of 45,000 GBP. These debt were accumulated in the UK, however I am now living in Canada with a new job.

What is the situation if I just stop paying the minimums of these balances, as none of the creditors have my Canadian address?

Will this catch up with me in Canada? And what happens if I ever did go back to the UK?

Your help is greatly appreciated, as I'm sure you can appreciate how stressful this can be and what a last resort this is. I have tried desperately to repay the balances, but have now let it get out of control to a point of no return. I am becoming ill with worry and just want to know if I will be tracked down in Canada?

Kind regards
M

Hi Guest

Welcome to the forums. I will like to inform you in general that it is possible to collect the debt from an outside country because some debt collection agencies have a wide network across countries to recover the debt. They are able to collect the debt through arrangements made with other agencies or because they have branches in outside countries.

When you will return back in UK, this debt will again be tried to be recovered as much as possible. So, it is advisable to pay off the debt rather than leaving it aside as it is hampering your credit report.

Please look for the alternative to pay your debt through debt consolidation program. You will be able to pay your dues through easy monthly payments at lower rate of interest. It will thus help in improving your credit report.

http://www.debtconsolidationcare.com/benefits.html

You can start using all the services of the debt consolidation program by signing up for free at the home page of this site.

http://www.debtconsolidationcare.com/

Please let us know your feedback and share your views in the forum.

Regards
Roxette

[quote=hockeyen]I have a few unpaid CCs (total of about 7K) in the USA and I'm about to move to Canada - for good. I have never filed for bankruptcy. Will Canadian creditors know about my unpaid bills in the US? :([/quote]

I have done a lot of research about this (due to my extensive debt) and by most part I am fairly sure that you will be completely safe in Canada, if yuor debt is below $15-20K. Often, the costs of pursuing this debt would exceed the benefits for a collection company, who averages 40-60% of all recovered assets. However, if you have extensive debt, especially $50K and upwards, a collection company will have incentive to go after you, and it really would not be that hard if a collection agency has a legaly established office in canada. Your canadian credit, may only be affected if the collection agency is an established entity in Canada... keep that in mind. I personally know of people who "wrote off" ~$10k in debt and are living in Canada with new, good credit.
PS. keep in mind that I am not a lawyer nor a debt counselor, so take this as a frindly opinion.

Hi dejonese and all other members

A warm welcome to all of you in the forums. It is honestly advised not to run and hide from the past debts. Though some banks and credit card companies share information, it might be wiser to make peace rather than inviting problems across the border.

I strongly encourage everyone to find positive ways to restore the credit before leaving country. In such case, life will become much easier on both sides of the border.

Regards
Roxette

[quote=roxette]Hi dejonese and all other members

A warm welcome to all of you in the forums. It is honestly advised not to run and hide from the past debts. Though some banks and credit card companies share information, it might be wiser to make peace rather than inviting problems across the border.

I strongly encourage everyone to find positive ways to restore the credit before leaving country. In such case, life will become much easier on both sides of the border.

Regards
Roxette[/quote]
Hello Roxette and everybody, thanks for the welcome...
I do agree with you... after a lot of tourmenting nights, I came to the conclusion that it would be a lot simpler for me to just work harder and pay my debts... I am hoping to be debt free in 3 years. Howvever, my circumstances were a lot more complicated. I do agree that if someone is issued credit, the best thing to do is simply pay it off. And I found that CC companies and most loan companies are actually not that hard to neggotiate with.

Hi Guest,

We all appreciate the positive energy in you to make yourself debt free within 3 years. Though it will require some hard work from your side, but be rest assured that your efforts won't go wasted.

It's always better to do something constructive rather than doing nothing for making your credit report look good.

We will appreciate your comments and suggestions on this board for the welfare of our community members. Please sign up to join our members who enjoy exclusively benefits and services offered by this company. This registration is completely free of charge and at your own interest.

http://www.debtconsolidationcare.com/signup/

Hoping to hear from you after you sign up as a registered member.

Regards
Roxette

[quote=Anonymous][quote=roxette]Hi dejonese and all other members

A warm welcome to all of you in the forums. It is honestly advised not to run and hide from the past debts. Though some banks and credit card companies share information, it might be wiser to make peace rather than inviting problems across the border.

I strongly encourage everyone to find positive ways to restore the credit before leaving country. In such case, life will become much easier on both sides of the border.

Regards
Roxette[/quote]
Hello Roxette and everybody, thanks for the welcome...
I do agree with you... after a lot of tourmenting nights, I came to the conclusion that it would be a lot simpler for me to just work harder and pay my debts... I am hoping to be debt free in 3 years. Howvever, my circumstances were a lot more complicated. I do agree that if someone is issued credit, the best thing to do is simply pay it off. And I found that CC companies and most loan companies are actually not that hard to neggotiate with.[/quote]

I am glad that you came to a resolution regarding this issue. You have decided to confront this debt head on and that is definitely more respectable than running from it.

It is true that you can try to hide from them. But what happens if you have an emergency or a strong need to return to the US. You may have family here in the US and you may need credit again. So you do not want to burn any bridges because you may not know how this will affect you in the future.

So i respect your decision. You will be happy you made it in the long run.

Just wondering if I lef the US with 45K debt and lived permanently in the UK, can I be chased down at the airport in the US if I returned for a vacation?
Thanks,
Kay

If you leave the country without paying the debts, there might be possibilities that your creditor will file a case in the court and get a judgment against you. Since you were not here to present your case, the judgment will become valid. Depending upon the state laws, the judgment can be renewed. So, when you come back to the country for a vacation, you will find a judgment waiting for you. If the creditor has links with companies in other countries, he will try to get money through them. Therefore, I advice not to avoid the debts intentionally.

I through a recent string on tragedy have found myself unemployed and unable to work for a few months. Between my husband and I, we have over $100000 in unsecured debt. Because of our income posted on last years tax return, we are ineligible for chapter 13.

We are currently 3 months behind on all payments, cannot make our rent opting to keep paying for vehicles as they are the basis for my husbands employment. Basically though, we have been told we have to wait close to 6 months before we can show income for the period below the median to file chapter 7.

I am Australian though, and my family has offered both tickets home, and a place to stay, and help getting on our feet there, but are not able to help with the debt in any way. We cannot stay here on little to no money for 6 months to file chapter 7, and if we were to file chapter 13, we would be leaving the country and my husband would have to wait 4 months at least to work, and I am a few months away from returning to work myself, and therefore could not make repayments on a chapter 13 judgement anyway.

If we left the country, and returned in 6 months to file, would we be eligible? I understand that you must be a resident of the state you file in for 180 days prior to your filing.

Or, is there any special section of law that would offer leniancy to our situation, that is that our income is expected to be significantly reduced (I am the major bread winner), and given the fact that the we have no intention of returning.

We don't want to leave the debt abandoned, and certainly don't want it to follow us, or be on the most wanted list if we ever return. We tried keeping up payments, but after a year of medical bills, car accidents, convalescence, ridiculous repair bills etc etc, we have found ourself living off credit cards to make save the cash to make the rent and utilities and minimum payments. We just can't afford minimum payments anymore. We own 1 vehicle valued at $800, and no other single item worth more than $300.

Desperately seeking advice,
OMH

There is no "income" ceiling for chapter 13 . . . Are you thinking about chapter 7? To file chapter 7 you must make below the median income for your state, but to file chapter 13 there are no income requirements.

hello I hold about $14,000 debt in the US. I have been living abroad, making my minimum monthly payments back in the US, but it just doesnt seem to go anywhere and I think in 5 years I will not see my balances significantly lower while I will have spent twice as much just to stay in debt. I have a credit card and fine credit here, am not planning on returning to the US although my parents still live there, and neither I nor them own anything- house, car, etc. What is the real risk if I notify the companies that I will have to stop making payments. I dont care too much about my American credit- what I care about is either harassment of my parents or problems at the border when I return.

Where are you living? I do know that several CA's have offices in canada and some have offices worldwide so depending on where you are they could come after you....but not likely. The SOL is tolled while you are out of the country....nothing will happen at the border if you come back but your arrival back in the country will reacivate the SOL clock.

One thing all of you with debt and looking to immigrate might consider is declaring bankruptcy in your old country and walking away from your debts LEGALLY. Obviously, this varies by nation, and in the US even by state, but you could declare bankruptcy, and be on your merry way to your new nation and start anew. Granted, declaring bankruptcy has it's consequences in your old nation, but if you're starting over in a new nation, then you should be fine. Yes, your credit is screwed in the old nation, and the debts might not be fully discharged, but if you're moving to a new country, it might be something to discuss with a lawyer. You then start fresh without open debt in the old nation.

My advice, however, would be to secure your immigration status in the new nation BEFORE declaring bankruptcy. It could be a big negative in the immigration process.