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Lost job in Singapore with Credit Card debt

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expatnumber83
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Lost job in Singapore with Credit Card debt

Postby expatnumber83 » Tue, 21 Aug 2018 11:20 am

I am in a situation where I unexpectedly lost my job in Singapore and have had little or no time to make arrangement or plan for this financially. I have outstanding CC debt of about 20K that is unpaid and I will be having issues making minimum payments. What is my option here. I will need to leave Singapore by latest end of September as my short term visit pass will expire then. My plan is to come back as my spouse still works here.

What issues could I face here. Would appreciate your suggestions.

- Contact the bank to setup a payment plan? Essentially default on the debt and pay of on a payment plan?
- How long before the bank cancels my CC and declares that I have defaulted on the loan?
- Will I have issues leaving Singapore mid Sept if I have not settled these issues? I'm planning on booking a return ticket.

- I know that you can apply for some form of 'debt consolidation' with DBS in which all your CC's are canceled and you will have a record 2 years after you paid back making it hard to get e.g. credit card of any other debt facility.

What kind of legal trouble could I potentially end up in in this case? Just want to make sure to get a pyament plan or similar.

Really appreciate any help as I want to settle this in a smart way.

Thanks!

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Wd40
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Re: Lost job in Singapore with Credit Card debt

Postby Wd40 » Tue, 21 Aug 2018 11:29 am

I think there is something called as debt consolidation plan with all banks. You can call your bank and find out your options.

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bgd
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Re: Lost job in Singapore with Credit Card debt

Postby bgd » Tue, 21 Aug 2018 1:31 pm

Agreed, talk to your bank. I knew of someone in a similar situation and he was able to negotiate both the repayment period and the outstanding amount.

Bongy21
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Re: Lost job in Singapore with Credit Card debt

Postby Bongy21 » Tue, 21 Aug 2018 2:02 pm

DCP can, but you need to be employed for the bank to approve your application.

expatnumber83
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Re: Lost job in Singapore with Credit Card debt

Postby expatnumber83 » Mon, 27 Aug 2018 12:41 pm

Ok, thanks.

Called the bank but the answer from them is very general basically saying if the minimum is not paid after 3 months the CC facility will be cancelled and unusable. If still no minimum payment is made the full debt will be owed immediately.

They said that you can apply for debt reconciliation and they will cancel the credit card and send application form to apply for a payment plan. You will then have to explain how you will be able to pay back subject to banks approval.

I guess this would be the only option for me at the moment as I don't have income coming in and and only rely on my partners salary.

Except for getting a bad credit record, does anyone know if this would affect ability to get EP or other things in the future?

Anyone know were you could get good cheap financial advice on the best course of action in this case?

Thanks for any help.

brian_singapore
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Re: Lost job in Singapore with Credit Card debt

Postby brian_singapore » Mon, 27 Aug 2018 4:22 pm

Sadly, I recently lost a hire because she had a (very) poor credit rating. HR refused to extend an offer due to this.

I had a long argument with them as the position did not involve anything remotely financial (i.e. no possibility the individual could embezzle funds to cover debt etc.) but they were steadfast.

I saw the actual credit report and while she was in dire straights it didn't look fatal to me - she wasn't bankrupt and she was busy digging herself out from whatever excesses she had engaged in.

I don't know if it will create a problem for things like issuing an EP, but it will cause problems getting an offer from some employers.

I don't know if a credit report check is a widespread in Singapore or not, but our HR department seemed to think it was SOP.

DrScrumMaster
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Re: Lost job in Singapore with Credit Card debt

Postby DrScrumMaster » Mon, 27 Aug 2018 5:30 pm

brian_singapore wrote:Sadly, I recently lost a hire because she had a (very) poor credit rating. HR refused to extend an offer due to this.

I had a long argument with them as the position did not involve anything remotely financial (i.e. no possibility the individual could embezzle funds to cover debt etc.) but they were steadfast.

I saw the actual credit report and while she was in dire straights it didn't look fatal to me - she wasn't bankrupt and she was busy digging herself out from whatever excesses she had engaged in.

I don't know if it will create a problem for things like issuing an EP, but it will cause problems getting an offer from some employers.

I don't know if a credit report check is a widespread in Singapore or not, but our HR department seemed to think it was SOP.


The boot is sadly on the wrong foot in your company.

HR should be a support function to help hiring managers, not to provide hindrance.

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PNGMK
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Re: Lost job in Singapore with Credit Card debt

Postby PNGMK » Mon, 27 Aug 2018 8:23 pm

Just pay minimum lah.
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jamie9vardy
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Lost job in Singapore with Credit Card debt

Postby jamie9vardy » Mon, 27 Aug 2018 9:26 pm

brian_singapore wrote:Sadly, I recently lost a hire because she had a (very) poor credit rating. HR refused to extend an offer due to this.

I had a long argument with them as the position did not involve anything remotely financial (i.e. no possibility the individual could embezzle funds to cover debt etc.) but they were steadfast.

I saw the actual credit report and while she was in dire straights it didn't look fatal to me - she wasn't bankrupt and she was busy digging herself out from whatever excesses she had engaged in.

I don't know if it will create a problem for things like issuing an EP, but it will cause problems getting an offer from some employers.

I don't know if a credit report check is a widespread in Singapore or not, but our HR department seemed to think it was SOP.

I think credit bureau check is a standard check carried out by screening agencies such as FirstAdvantage and Hire Right used by MNC banks. Other than the possibility of an individual could embezzle funds to cover debts, there is also a fear that an employee who has access to sensitive client data could sell them for money.

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PNGMK
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Re: Lost job in Singapore with Credit Card debt

Postby PNGMK » Tue, 28 Aug 2018 12:00 pm

Just a heads up. If you let the CC cards lapse and go into judgement the banks will blacklist you forever. IT used to be bank by bank but it now may be multiple banks on one default (now there is a more functional credit bureau). Going bankrupt or discharging the debt does not fix this as I and others have found out. IT will impact your ability to borrow in the future for a car/house or obtain new lines of credit and CC.
IANAL. IANACPA. IANA Teacher.
Arrested? Lawyer Up
International School job? School website or http://www.ISS.edu
School advice? Avoid for profit schools
Tax advice? CPA
Pay me $5k for 100% success filling in PR form!

brian_singapore
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Re: Lost job in Singapore with Credit Card debt

Postby brian_singapore » Tue, 28 Aug 2018 4:11 pm

jamie9vardy wrote:I think credit bureau check is a standard check carried out by screening agencies such as FirstAdvantage and Hire Right used by MNC banks. Other than the possibility of an individual could embezzle funds to cover debts, there is also a fear that an employee who has access to sensitive client data could sell them for money.


Fair point - although the person would have had no access to that either.


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