What Happens to Debt When a Person Moves Out of the Country?

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The results of moving out of the United States and leaving debt behind vary from lawsuits filed on behalf of the debt holder to poor credit for the debtor. Depending on the length of time out of the country, there may be no result.

People who leave the U.S. with debt may encounter a number of different issues. One of the most difficult to overcome is the negative affect on credit score. Just as in any situation where a credit account such as a mortgage, credit card or auto loan goes unpaid, the debt will be charged off after a certain period. However, a creditor may enter a judgment, which could result in problems for the individual when he or she returns to the country. Further, dark marks on credit in the U.S. may affect a user's ability to use or obtain credit in the new country.