Living in Brazil with UK debts

[a_Penguin]

Hi everyone. As the title suggests, I live in Brazil but with some UK debts. I moved here less than 2 years ago but to do so I borrowed ~£20k from V12 finance with a 10K interest (biggest mistake of my life). So far I've been paying it off monthly but recently my circumstances have changed and so has my ability to pay this each month. I will be on a much lower salary (from ~3K a month to just over £200 a month). I normally get paid in GBP and use Transferwise to send the monthly bill amount to my UK account so it would leave by direct debit each month and I'd send the rest to my Fiances Brazilian account where the tax would be paid. I don't own any assets at all. As I am about to go through this massive change in circumstances, I was considering my options here. Would Bankruptcy be viable? Any advice would be greatly appreciated.

I realised just after posting I possibly put this in the wrong section, apologies and if it can be moved to Money & Debt where it might be better suited?

[MIKE770]

depend if you have property in the UK or even are you going to return to UK to live???

[MIKE770]

if you are not going to reside here the& have no property then cancel any payments,,* but give more real time information for peeps to advise best>?

[a_Penguin]

I have zero assets at all, no property or savings in either country. I don't plan on returning to the UK to live again in the near future. Wouldn't I be chased by local creditors in Brazil by the company if I just cancelled and face some sort of legal repercussions?

[MIKE770]

Ño. Amethyst*

[a_Penguin]

MIKE770 is that a no to possible legal repercussions?

[MIKE770]

Ño. Amethyst

[MIKE770]

See what Ame confirm

[a_Penguin]

Got it, thanks for taking the time to reply. I'll keep an eye on here for a reply

[Amethyst]

V12 are a broker - is the actual loan with Freedom Finance?

Is the loan secured in any way or is there a guarantor ?

£10k interest on a £20k loan isn't a crazy amount of interest. - repayment over 5 years at 18% per annum. £500 ish a month ? or did you take it over a longer period ?

If you intend on coming back to the U.K. in the next 6 years or so then it will catch up with you on your return and your credit file will be screwed of course. If you intend to stay in Brazil then court judgments or bankruptcy proceedings etc may affect your visa application.

Presumably as you've been there two years you had something through your work to extend the period you were able to stay. Have you now left that employment ? and if so have you checked what your actual status is and whether you are able to stay in Brazil ?

[a_Penguin]

Thanks for the reply. I'm not sure how to find out if the loan is secure in anyway but there is no guarantor, just me. As for who the actual loan is with all I can find is Retailer:Aurum Group.

I opted to pay it back over a longer period of 7 years at around £360 a month.

I don't plant on returning in that time minus short family visits. My status in Brazil is actually that of a Resident and I have no deadline to leave as I am in a stable union with my partner. My previous job had no part of me being here or being allowed to live here, that was all personal reasons to live with my partner.

[a_Penguin]

V12 are a broker - is the actual loan with Freedom Finance?

Is the loan secured in any way or is there a guarantor ?

£10k interest on a £20k loan isn't a crazy amount of interest. - repayment over 5 years at 18% per annum. £500 ish a month ? or did you take it over a longer period ?

If you intend on coming back to the U.K. in the next 6 years or so then it will catch up with you on your return and your credit file will be screwed of course. If you intend to stay in Brazil then court judgments or bankruptcy proceedings etc may affect your visa application.

Presumably as you've been there two years you had something through your work to extend the period you were able to stay. Have you now left that employment ? and if so have you checked what your actual status is and whether you are able to stay in Brazil ?

Hey, don't mean to pester you, but would you have any further advice on the matter after knowing I am a resident here with the intention of not moving back to the UK?

[MIKE770]

is the loan secured on any property or a Guarantor????????????????????????????

[a_Penguin]

is the loan secured on any property or a Guarantor????????????????????????????

No, I simply applied through V12, no guarantor or collateral was required. Does that seem strange for the amount?*

[Amethyst]

I don't know who Aurum Group are. V12 broker loans mainly through Secure Trust which is what concerned me that it might have been secured - but if you don't have any assets, or part ownership of property etc then that seems unlikely. Was it just a cash loan ? Not for a specific purchase ? ( v12 loans look like they are normally debtor-creditor-supplier )
Theres a Aurum asset finance ( aisn) but they do small business asset lending - so secured on the purchase the loan is intended for & are unregulated business loans.*

v12*Retail Finance Limited act as a credit broker and introduce to one or more lenders, for which they will receive a commission.

https://www.v12retailfinance.com/customers


7 years at £360 is about 12.5% annually*

I really don't know the company so I have no insights there I'm afraid. If you have the agreement copy it might assist.*


Obviously we can't advise just to not pay it - if you have no intention of coming back to live then having debt isn't a criminal matter ( unless obtained by fraud ) so it shouldn't have any effect on anything but your credit file and potentially a court judgment against you.*

*