Money Advice Tips

Important Ways to Face Money Problems When You’re Living Abroad

November 11, 2014

Living abroad can come with many trials and tribulations, and one of them is managing your personal finances. It can be more difficult to do this when you’re not living in your home country. When you come up against money problems, the situation can feel more urgent when you’re away from home. If you get into trouble you could end up having to leave the country and, worse, you might not be able to afford it. Other issues might arise too, ones that don’t threaten your place in the country, but are still an inconvenience. If you live abroad or are thinking about doing so, think about these potential money issues that you could run into.

4916557151_247ae8d57a_zImage courtesy of epsos.de

Credit Record

When you move to a new country, you usually have to start again where your credit record is concerned. If you’ve built up a glowing record in your home country, this, unfortunately, won’t stand for much when you move. Having no credit record in your new home can mean that it’s more difficult to do even simple things like getting a contract phone. It can also affect your credit record if you want to move back home again. Find out how you can start building your credit record in your new home. Doing things like renting a property and registering to vote can help you to start building a record and get approval for bigger things.

Short-term Cash

When you’re abroad, just like when you’re at home, you’re going to have situations where you need cash that you don’t have. One of the most popular ways of getting hold of this sort of money is personal loans, but you’re in a foreign country you might not be eligible. If you’re a permanent resident, you can usually borrow from a personal loan lender. For example, Money3 in Singapore approves loans for residents and people with certain work visas. Applicants don’t need to be Singaporean citizens.

Unemployment

Although most people move abroad on the strength of a job, you might still have to worry about unemployment. You can choose to return home if you lose your job or business, but many people decide to look for something new. If you’ve fallen in love with your new home, you don’t want to have to leave because you’ve lost your job. Before taking up a job in the country, check your eligibility for unemployment benefits. Some countries will only give them to citizens while some countries will require you to pay a certain amount into the system before you can receive benefits. Another option is a private insurance system, either through an insurance firm or simply by putting some money aside in a savings account. If you have a way to support yourself in the event of unemployment, you’ll have more time to look for another job.

If you run into money trouble while abroad, don’t struggle on your own. Make sure you seek out help from financial advisers, friends and family.