I have written before about paying debts you may have left in another country. For one reason or another, you move to a different country, you may have a job, you may take out a loan or a credit card, and then for some when their Visa to stay in the new country ends, they move back to their home country.
For some it may be a quick move and they leave behind some form of debt. Others may move back to their home country, and have full intentions of repaying the account or accounts they left behind.
Most people realise that just by moving from one country to another country, does not make the debt go away. In addition, the debt could be sold or assigned to a collection agency in their home country, and then collect there.
Here in the UK, if a debt from another country is assigned, or sold to a UK collection agency, the account/debt, then has to be collected in accord with the rules and laws we have here in the UK. In addition, this then gives the account holder or debtor all the debt management options and insolvency options we have here in the UK.
The UK has some of the most lenient insolvency laws in the world. We also have better debt management options, and the majority of creditors and lenders here in the UK are easy to work with, which makes having a debt from another country sold or assigned here in the UK, in some ways advantageous.
However, if you are willing and able to repay a loan or account you have left behind in another country, the question does arise as to how to do this?
There are a number of ways to make the payments, but they all involve some form of currency exchange. And the rates of currency exchange can be very fluid, and change not just daily, but hourly.
You need to begin with the bank or lender you owe, and discuss this with them. They may be able to provide details for you to send payments from outside that country, which may involve a IBAN number. This is an international bank account number. You can set-up a direct debit or payment via your bank in the UK or where ever, to make a payment each month.
You can also make payments via PayPal, or even over the phone, the issue once again is the exchange rate. As this can change, you may need to check the exchange rates, and make adjustments on a monthly basis. A bit of work, I know.
There also is setting up a monthly payment higher than the regular payment, just to cover any exchange rate fluctuations. This obviously costs you more, and so can any fees associated with sending money abroad to other countries.
If you have a bank account in the country the debt originated in, you can use that account to make payments. However, you still deal with the issue of insuring money is in that account each month for the payment.
While it may be easy to travel the world, and move about once again as more restrictions are lifted, there still is the age old issue of paying bills and accounts from one country to another.