Yes, it’s true. You can move out of the U.S. and live abroad to escape student loan debt or any debt for that matter. However, there are many stipulations, the most shocking being that you can never come back.
Why Would Someone Want To Move Abroad To Escape Debt?
It is an easy way out. According to the Consumer News and Business Channel (CNBC), Americans now owe more than $1.53 trillion in student loan debt, based on the most current figures available. That money is not only owed by young people fresh out of college, but also by borrowers who have been out of school for a decade or longer.
The standard repayment timetable for federal loans is 10 years, but research suggests it actually takes four-year degree holders an average of 19.7 years to pay off their loans.
Essentially, if you move abroad, you may no longer be traceable for debt collectors to find you.
You May Also Like
What Are The Other Benefits?
Cheaper living, a clean slate, and a chance to see the world. The American dollar goes a long way in other countries. The more remote you are, the cheaper you will find land, housing, and food. By ditching what we consider “The American Dream” you will find that you can make ends meet with a fraction of what spend in the U.S.
By eliminating extra “things” you think you need such as Starbucks and entertainment subscriptions, you can not only save money, but put a dent in your debt if you choose, all while exploring the world.
What Are The Risks?
There are many. Leaving your debt back in the States may sound appealing, but it’s not that simple. Often, when applying for a visa in another country, your debt will be examined. If it appears that you’re trying to avoid paying off debt, your application will likely be denied.
Also, if you do move abroad and give up your U.S. citizenship. You may never be able to come back to the U.S. to live permanently. You can certainly try to, however, once you do return it’s likely that you’ll come back to the same debt (if it hasn’t tripled in late fees, interests, tax liens, and more).
You May Also Like
So, if you’re going to go. You’ll have to stay gone.
Is It Legal?
While it is legal for you to move to any part of the world you’d like, the federal government can still come after you. Your debt is one thing, but
