I have emailed you before regarding our debt problem that has occured since we left the UK. We are currently in NZ and we are aware that the Uk and NZ have a reciprocal agreement. If our lenders back home refuse our offer of £1 per month but will happen if they take us to court in NZ. CAB over here are none the wiser and do not know what advice to give us.
Cheers in advance.
I'm assuming the debt hasnt been sold on the agencies in NZ, therefore, the debt is still under UK law. The reciprocal agreement might just be between the creditors and debt collecting agencies, in order for the NZ court to become involved, I would have thought the debt would need to have been sold to an agent in NZ, and they would need to go through the debt recovery process.
If a creditor rejects your offer, they may go for a county court judgement, in this case, the same thing will occur in the sense, you will admit you owe the money, and make a proposal of payment, the same offer you made before. Oddly enough, this means, that you now will have the court on your side, if you are offering a realistic amount in line with what you can afford, the offer could then be accepted.
If you have made an offer, sit tight and see what the outcome is.
Its unusual that the CAB over there can't give you any advice. You could always try and email the CAB over here to see if they can give you any additional info?
Hope this helps
any help or previous experience would be grateful.
Something puzzles me in your message : "I'm assuming the debt hasnt been sold on the agencies in NZ, therefore, the debt is still under UK law" ...
The original credit agreement is entered under UK law. Are you saying that suddenly, if the debt is sold abroad, all the legal constraints of the new country apply to the old debt ?
Does that mean for instance that, as a debt is not a criminal offense in the UK, it could become a criminal offense in a country where debt is ?
For instance, in Italy, they take your passport when you have debts. Or in other countries, you can even go to jail for simple debts.
So, a debt which was entered in the UK under quite humane terms could become suddenly a trap in less "lenient" countries ?
It takes two to make an agreement. Obviously, in the new country, the debtor has no legal agreement with the new owner of the debt.
Therefore, how can it be seen as a valid "agreement" and how could it be enforceable, when the original credit agreement states very clearly that only the UK law applies ???
Many thanks in advance for clarifying this matter, as I am quite worried suddenly !!!