Will My Debts In The UK or Abroad Affect My Applying For The EU Settlement Scheme?

Will My Debts In The UK or Abroad Affect My Applying For The EU Settlement Scheme?

The news is full of stories and reports about the Brexit, and it seems to be no end in sight as to if the Parliament and PM’s can get it together, and bring about a deal with the EU.

Brexit is getting the blame for everything, or in fact, maybe it is causing a lot more than we realise.

Families are staying close to home this holiday period and taking staycations, as opposed to going abroad.

Banks and other businesses are moving billions of Pounds abroad, and also opening offices in the EU, in the hopes to continue trading in and with the EU.

Dogs and cats living together…I jest. But things are seemingly getting out of control.

Some are concerned about how our insolvency laws may change once we leave the EU, as for now we can include EU debts in a UK bankruptcy, and be afforded protection from those debts.

Over the years as UK Citizens we have moved everywhere in the world, and many of us have stayed in other countries, and many of us have returned. Returned with debts abroad, and returned with concerns as to if we will be chased for the debts back here in the UK.

Then there is the worry and concern of having debts in other countries and being allowed into the UK to work and live. And also getting a Visa to stay here in the UK, owing money abroad or here in the UK.

Currently, owing debts abroad or here in the UK, will not get you stopped entering the UK, either for a holiday, or if you have the correct Visa, to stay here.

Even getting a Visa or Citizenship here with debts is usually not an issue.

Even with CCJ’s/County Court Judgments, it is not an issue as long as the debts are being paid and a payment plan is in place.

But with the Brexit upon us, a new “settlement scheme” has been developed and implemented, the EU Settlement Scheme.

What is The EU Settlement Scheme?

The EU Settlement Scheme is a scheme that was brought about due to the general vote back in June 2016 to leave the EU, or as it is now called, Brexit.

The vote was in favour of leaving the EU, and once Article 50 was invoked in March 29, 2017, it began the clock ticking for the UK to leave the EU.

By making the decision to leave the EU, it also brought about the issue of what about all the EU and EEA citizens that now live and work in the UK; and have lived and worked here for years?

Do they now need to leave, can they stay here, do they need special Visa’, and what about their families?

The list of questions goes on and on.

What was decided was that those from the EU, and EEA, would need to apply for a setted status to allow them to continue to live and work here in the UK after we leave the EU.

Initially this settlement status was to cost £65, and £32.50 for those under age 18, however the PM soon scrapped this fee as a knee jerk reaction to the fact that the EU, in particular Germany, stated they would not charge any fees for UK Citizens to stay in their country.

The EU Settlement Scheme opened in March 2019, and those who are eligible have until June 30, 2021 to apply.

The basics of the scheme and in order to qualify, in simple terms are:

* Have ID showing who you are, either a non UK Citizen, EU ID or other acceptable forms of ID

* Been in the UK for 5 years

* Not have a criminal background that is deemed a threat

Pretty simple and basic, however, there can be some caveats and complexities here and there, depending one one’s full set of circumstances.

But no where does it ask about debt, here in the UK or outside the UK.

Even if you had judgments against you, they are not looked at, or inquired about.

So to answer the question regarding will debts in the UK or other countries affect getting EU Settlement status here in the UK, no, not for now, there are no questions asked related to debt or any money owed.

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<strong>What is Our Criteria For Applying?</strong> 
Every lender on our website has their own specific criteria by the basics are mentioned below and you must have a guarantor to be eligible. Simply select the lender of your choice and you will be taken directly to their website where you can apply. You will be required to submit your details including:<li style=”text-align: center;” data-mce-style=”text-align: center;”>Name (must be over 18 as the borrow, 21 or 25 as the guarantor)</li><br /><li style=”text-align: center;” data-mce-style=”text-align: center;”>Residence (your chances will improve if your guarantor is a homeowner)</li><br /><li style=”text-align: center;” data-mce-style=”text-align: center;”>Employment status (must be employed or on a pension)</li><br /><li style=”text-align: center;” data-mce-style=”text-align: center;”>Income (earning at least £600 per month and able to make repayments)</li><br /><li style=”text-align: center;” data-mce-style=”text-align: center;”>Monthly expenses (not have too many loans open or in major debt)</li>
You will then be asked to include the details of your guarantor and as mentioned above, this is usually someone who you know and trust and wants to help you with your personal finances. Ideally, a guarantor with good credit will maximise your chances of being approved based on the idea of ‘if someone with good credit trusts you, well we can too.'<strong>How Much Can I Borrow From Guarantor Loans?</strong>Guarantor Loans gives applicants the chance to borrow £500 to £15,000 depending on the lender. Some lenders we feature like Buddy Loans only have a maximum loan value of £7,500 and TFS Loans is the only lender that stretches up to £15,000.Factors that can influence the amount you can borrow revolve around having a good guarantor. One that is a homeowner, with solid employment, income and good credit rating will maximise your chances of borrowing the largest drawdown possible.The lenders featured on Guarantor Loans see a homeowner as someone who has already gone through the rigorous process of credit checking and affordability and if they can afford a house, they should be able to act as a guarantor for you.By comparison, having a guarantor that is not a homeowner offers slightly less security and means that amount you can borrow is slightly less too.Higher amounts may be available to those who already have a better than average credit rating, are homeowners themselves and a repeat customer with the lender who has already paid their loan on time. To apply directly with your lender of choice see <a href=”” data-mce-href=””>direct lenders</a>.<strong>What Does The Guarantor Have To Do?</strong>Upon completing an application, the lender will typically send you a <a href=”” data-mce-href=””>pre-contract loan agreement</a> and SECCI (Standard European Consumer Credit Information form) which will highlight the terms of your loan. You and your guarantor will be required to review the terms of the loan, including the loan drawdown, fees, repayment dates and responsibilities – and this can be signed via an online verification process using your email and mobile phone.The lender will usually carry out an individual phone call with you and your guarantor to ensure that you both understand the responsibilities and what is required of you – notably that if you cannot make repayment, your guarantor will be required to pay on your behalf. Further to some additional credit and affordability checks, funds can typically be transferred within 24 to 48 hours (or sometimes on the same day).<strong>Are Guarantor Loans Available For Bad Credit Customers?</strong>Yes, even if you have a history of adverse credit, <a href=”” data-mce-href=””>CCJs</a>, bankruptcy or IVAs several years ago, you can still be eligible. The idea is that you are using your guarantor and their financial history to ‘back you up’ and give your loan extra security. However, it is noted that your guarantor should have a good credit score and consent to co-signing your loan agreement.<strong>How Soon Can I Receive Funds?</strong>Guarantor Loans works with lenders that can facilitate funds within 24 to 48 hours of approval, or sometimes on the same day.When your funds are successfully transferred, most lenders working with Guarantor Loans will send the full amount to the guarantor’s debit account first. This is a standard security measure carried out by lenders to ensure that the funds are going to the right person and confirms the involvement of the guarantor. The guarantor usually has a ‘two week cooling off period’ where they can decide to pass on the money to the main borrower or they can change their mind and return the funds with no extra charges.