First steps
If you are behind in repaying a debt you owe, your creditor (the person or organisation you owe money to) can usually charge you a higher rate of interest, as well as seek to recover its legal and enforcement costs in pursuing the debt. There are a number of options available to creditors, depending on the size of the debt. These include appointing a third-party debt collector or taking you to court for the money you owe them and/or for possession of any secured property (for example, your home, if you have given your creditor a mortgage over your house).
If you think you may start struggling to repay your debt, tell your creditor about your situation as soon as possible. Ask them to put a hold on your debt while you see a…
