Yes. Crocodile, you got it right.
I owed about HK$35K.
Moved house a few times, even moved out of HK for job elsewhere.
so the boogeymen have not been in contact.
I hopefully wish to just pay HK$35k only, or a few grands more, if I can get them to clear my books.
I don't care if they don't issue me new cards anymore or my credit record is spoilt since do not wish to be in debt ever again.
I have been meaning to pay the debt:
1) for moral reason, yes I am afraid of God, and I was young and stupid and couldn't pay of my debt on time and then I lost my job.
(so do not wish for any further lecturing from moving07, as i thought this is an advise taking / giving forum, not a class on morals).
2) immigration has asked me to declare if I owe anyone any money, (i am acting as a sponsor for a family member) so I don't want to lie to them and say i don't, or tell them that I owed $35K few years ago, which they will also calculate and say your unpaid debt should now be this much and the money you have in your account which is about 100K is not sufficient for you to sponsor someone into HK)
Now the clear advise I need is on the following:
1) I thought debts gets sold to debt collections agencies after 6 months of being outstanding and the interest stops getting calculated any further. Not for 6 YEARS.
Please confirm this kindly if someone has knowledge.
(If above is the case then my 35K debt after 4 years will now be around 85K. And if I don't pay it now, after completing 6 years, it will be 134K. I am calculating it on 25% yearly basis where the base gets bigger with the interest amount added after every year. I don't have that much money and will only be willing to pay it, if I become a millionaire, chances of which are slim.)
Should I just declare my debt to immigration and say, I owe 35K to 2 credit card companies, whereas I currently have around 100K in account enough to sponsor someone to be my dependant?
do they have the power to make me settle my debts?
of course I know they have the power to refuse my sponsor's visa.
but I am wondering, if I should just not declare any debts at all.
and then after 2 more years find out what is the amount they want me to pay and then negotiate it with them. by then hopefully I will have more money to pay them even with more interest if necessary.
thanks again everyone and sorry my message got a little long again.
thanks Claire ex-ax. will check out your suggestion.