chrissystevo

Hi,

I was talking to a colleague of mine at work today and he asked me this question (he thought I might know the answer being a pom).

A friend of his moved over here from UK about 2 years ago. When he moved he had 3 or 4 small credit card debts. He kept paying these from over here. About 2 months age he got an Aus credit card and used that to pay them off, total about $4,700.

He had a family death a few weeks ago, had a bit of a breakdown, quit his job and returned to the UK. Apparently he has no intention to repay the aus credit card (Westpac or ANZ). Can the bank get judgement against him over here and enforce that in the UK?

Not sure what the answer is. I didn't think you could enforce judgement obtained in Aus in the UK. I know that if you are made bankrupt in the UK technically any assets you have abraod can re realised, although this very rarely happens, but I didn't think that a CCJ awarded in a UK court could be enforced abroad.

Any answers?

James516

Heh - most people on here are leaving debts in the UK, not Oz. I imagine the situation is similar, i.e. no UK court is likely to enforce an Oz action. He will be in trouble if he reapplies for credit in Oz.

I know that UK debt collection agencies are forbidden from scouring the earth for the defaulter and then killing him in a slow and gruesome manner, but I don't know if such restrictions also apply to Australian DCAs.

RobertC

From either country I suspect that the answer will really depend on the amount of the debt, companies will look at the potential cost of recovery, the likelyhood of success and compare that with the amount that they might recover.

It will be a business decision to persue or not but the debt will always be waiting for the person should they return.

Mind you, there must be several million Mexicans from the sub-prime markets that are laughing their socks of right now, they will probably have the best answer for you

Sally Simpson

Excuse me, but I think that you will find that most people on here are NOT leaving debts behind!

Pollyana

Exactly. The vast majority of us either pay off stuff before we go, or keep paying once we reach Aus.

Alfresco

Which can turn out to be an eternity.

iolande

[QUOTE=James516;8225119]Heh - most people on here are leaving debts in the UK, not Oz. [QUOTE]

Are you confusing Australia with the French Foreign Legion?

Pollyana

I think the Legion is probably more fun

The Bloke

He won't be in trouble, he just won't be able to get any sort of credit, due to a judgement being taken out against him in the courts and it being recorded by the Credit Reference Assn of Australia.

chrissystevo

Thanks guys, I know there is no finite answer. Does that only go on his credit record in Australia, not other countries?

Thanks

Pollyana

Credit ratings are only for that country - your UK rating doesn't follow you here, your Aus one doesn't follow you home.

Vash the Stampede

That can't be right, it contains French people.