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Debt in a foreign country

Personal Finance & Money Asked by quefaire on March 26, 2021

I have spent couple of months in Lithuania in the beginning of this year. I signed up for a gym membership for 1 year. But due to covid, I left Lithuania and came back to my non-EU home country. (I will not go back to Lithuania). I forgot to cancel membership, now they charging me for the months I was not there.

So my question is what happens if I do not pay? Can they charge me or go to court? Do my future visa applications get effected?

Thanks for you help in advance.

2 Answers

You have two options:

  1. Do not pay

    • If the gym is owned by small company, there is higher chance that they let it be, because of bureaucracy and the small sum involved.
    • If you don't pay for it they can go to court, and that can be a problem if you ignore it — next time when you go to the EU you can be arrested (in any EU country, not only in Lithuania). This has a really low probability of happening but it can happen in the worst scenario.
  2. Pay for it (recommended)

    • Communicate with them and ask them for a lower price and tell them your situation.

Answered by Davidm176 on March 26, 2021

As usually IANAL and I do not know the specifics of the contract you signed then not Lithuanian LAW.

So what will happen if you don´t pay your dues:

First You will get payment reminders, probably loaded with additional fees.

If you still do not pay, the creditor has to decide: Drop the debt, go to legal proceedings or sell off the dept. Most will probably sell the debt to professional debt collectors.

Those will contact you, with even steeper fees an will possibly operate internationally.

This can mean that:

  • The money owed (+fees) is seized from your bank account
  • A marshal knocks on your door to confiscates valuables
  • You are registered in rating systems as someone who does not honor a debt and therefore will have a hard time getting loans, bank accounts, rented property or mobile phone contracts.

It is hard to tell how well this works on an international level, especially without knowing any details of your situation and the country of your residence.

Note that you are not only responsible for the money you owe, but also for the fees and interest those can quickly surpass the original amount of a neglected debt.

So I go with @Davidm176´s recommendation: If you currently can not afford to pay them in full, contact them an try to negotiate a deal.

Answered by Daniel on March 26, 2021

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