This is a topic that has been discussed and written about before, actually quite a bit, but with the calls and emails I am receiving seems to be worth going over again.
People who have left the UK, many in search of a better life, certainly better weather, who can no longer service the debts they have, back here in the UK.
Their options get limited, especially if they feel they do not have much as a surplus in wages to offer towards the debts after their living expenses.
Bankruptcy is an option and one they may be able to do.
If they are residing in an EU country, they must go bankrupt within 3 months of leaving the UK or they will need to go bankrupt in the country they reside in and in accord with the laws and regulations of that country.
If they reside in a non-EU country, they have a three (3) year window to file a bankruptcy back in the UK. Not that you would want to wait that long.
After the three (3) years they can still go bankrupt, but they will need to return to the UK and do this for themselves in the High Court in London.
Now to do this if you meet the time requirements, you need to either return to the UK and file the petition yourself in London, or you can have a representative do this for you.
A couple of questions people ask when they are to go bankrupt from outside the UK is about their accounts in the country where they are living.
It can be they have credit in that country or they are concerned about their bank account(s).
You are allowed a basic account whilst in bankruptcy, and this would be regardless of the country; however I advise them to contact their bank and inquire as some banks do not allow bankrupts to have accounts.
As for having credit and maintaining it in another country: in bankruptcy all your debts need to be placed, by attempting to keep an account and pay it outside of the bankruptcy is preferring one creditor over another and not allowed.
This may cause issues with your bankruptcy in the UK or even a restriction order.
Lastly people ask about property they may have in the country they are now residing.
Any property in the world can be considered an asset in a UK bankruptcy. As to if the Official Receiver has the authority to dispose of that property can vary as many EU countries work in conjunction with the UK.
One thing to keep in mind is that the world has gotten smaller and it is unrealistic to think you can leave debts behind in one country, and move to another, establish yourself, own property or other assets, ask the courts to discharge or forgive yours debts in the UK whilst allowing you to have credit and/or property in another country.
Unfortunately we cannot pick and chose in these matters.
