I overheard a man bragging about plans to leave the country to skip out on his credit card and homeowners debt. He said that the bank will just take his house, and that the credit card companies can%26#039;t %26quot;get him%26quot; if he%26#039;s out of the country for 7 years. For those of you involved in this industry, or for any legal eagles out there, is this true?
Can you leave the country to avoid paying credit card and homeowner%26#039;s debt?
You heard wrong. Every state has their own Statute of Limitations on the time a debtor can be sued in court for collection.
However, tolling (that means stopping and starting the time clock on debt) can be stopped when a person leaves the country or their state, but upon returning the clock starts running again.
Example: say that you live in Florida where the statute of limitations on credit card debt (open ended credit) is 4 years. You do not make any payments to your credit card company for two years leaving only 2 years to go before the statutory period is up. Suddenly, you decide to move to Georgia, stay 12 months and then move back to Florida.
Florida statutes say that leaving the state or making a voluntary payment tolls (stops) the running of the statutory period. So, on the day you move back to Florida, the remaining 2 year statutory period begins running again.
On the other hand, if you had two years left on the statutory period and suddenly decided to make payments for 12 months but then stopped again, the 4-year statutory period begins running again. In effect you%26#039;ve reset the clock.
In some cases, making an actual payment or making a verbal or written promise to pay can reset or restart the limitations depending on your state code.
So in essence, running away for a while, is not a way to dodge debt collectors, unless you are gone long enough to be declared legally dead!
Can you leave the country to avoid paying credit card and homeowner%26#039;s debt?
haha thats funny. i do know that when people die and they have a debt that the families are left paying for it so i would guess this is what would happen in this case. if he ever did come back to the states he would be in biiiiiiiiig trouble.
Can you leave the country to avoid paying credit card and homeowner%26#039;s debt?
haha does he plan on coming back after 7 years or just moving somewhere else? I%26#039;m pretty sure it%26#039;s out of their jurisdiction to %26quot;get him%26quot; in another country, he%26#039;ll be safe... but he%26#039;ll have an extremely difficult time coming back, that%26#039;s for sure. He%26#039;ll have no credit... and he probably won%26#039;t have any benefits.
Can you leave the country to avoid paying credit card and homeowner%26#039;s debt?
The bank will take his house.
The debt will remain on his record. If the credit card companies show that he left the country, there is a provision in the statute of limitations law to freeze the clock when he leaves. If he is stupid enough to ever return, the companies can file charges against him for fraud and and larceny. These charges do not have the same statute of limitations as does debt.
Can you leave the country to avoid paying credit card and homeowner%26#039;s debt?
the bank or mortgage supplyer will sell the house and if it does not clear the debts he will owe what is referred to as a shortfall (ie what ever is outstanding after the sale proceeds pay the mortgage supplyer)
if he skips the country and keeps his head low he could get away with it but he could never really relax and if they find him they will hound him for the debt
they can also apply for his personal bankruptcy in his absence
his best bet is to stay here and apply for bankruptcy if he is out of work...... or a debt management programme ...............or even better if he fits the criteria an IVA go to financial guardian for help 08000435043 (in England)
Can you leave the country to avoid paying credit card and homeowner%26#039;s debt?
Depends on the state as well. . . For example,
Ohio has a 15 year statute of limitation on written contracts.
The ability to sue for balances is 6 years for credit cards, but the house debt is a WRITTEN contract, so under Ohio law, that debt would be waiting for him when he came back in year 8!
Finally, it really speaks to his character if the best way he handles difficult financial situations is by leaving EVERYTHING he knows for 7 years! That is nothing to brag about. . . tsk, tsk, tsk.
Can you leave the country to avoid paying credit card and homeowner%26#039;s debt?
Just and FYI you could run from your problems and debt but he gets back it will be here, so the best thing is to comfront your responsabilities.
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