I was previously using a VPS from HostEurope. After few months, I asked for a cancellation. I stopped paying bills but, somehow, my account was not cancelled and I started receiving legal notices. I am from India and I don't understand German. Since the notices were in German, I just ignored them. I received the last notice in January 2015 (used Google Translate and understood some part of it). The issue is still not resolved.
Can this cause any issues if I apply for German work permit visa?
Your unresolved debt will for sure not be a problem when it comes to your visa application.
I may indeed cause you a problem when it comes to anything financial services in Germany (bank account, credit card) or if you want to let a flat.
There is a central credit history register in Germany called Schufa (mentioned in one comment above). If you did not pay your bill, the question is if the company reported you to Schufa or not. The only way to tell is to get an excpert of the data they stored about you, though this may not be easy from abroad and if you don't read German.
The other problem there is: Let's assume you pay to close the case. It will stay on your Schufa records for three full years, unfortunately.
And this will cause you problems if a landlord asks you to present a Schufa certificate, for example.
According to my knowledge, you may get Visa, but for sure you won't be able to open bank account and rent a flat anymore. As you have to be debt free for those matters. In order to fix all those issues you may need to contact Schufa organization in Germany
