Ten ways to avoid or delay repossession
While one would think only those obtain a credit who can ensure that they can pay it back, the crude reality is, that every year, thousands of properties and cars are being repossessed by credit institutes and banks as the owners are unable to proceed with the repayments the way it has been settled. Therefore we would like to introduce you to ten key ways you can avoid repossession.
1.) Cover as much as you possibly can
This means get the least amount of credit possible. This also means that with time you will pay a reduced amount only which will definitely be a huge help on the longer haul.
2.) Always check for benefits in advance
There are lots of benefits one can obtain before or after getting a credit. One of these include jobseeker’s allowance but there can be benefits for those who just got married and would like to invest in their first real home. Always ask in your town or district office on where to get more information and how to apply for these benefits.
3.) Get a credit insurance
This may mean that you pay some extra but this can come extremely handy in case of an emergency situation and it can cover for monthly payment for over a year’s period of time.
4.) Check out financial capabilities and the expectations well before obtaining a credit
Rather consult with a credit advisor than just got for a credit without thinking it through.
5.) Always inform the lender
Keep in touch with the credit institute and inform them if any emergency occurs, this doesn’t only mean a testimony of goodwill and they can actually offer you several solutions to help with the issue.
6.) Negotiate before the case is brought to court
It’s way better to consult the credit institute before the court is involved as the court procedures cannot just be stopped that easily and they can often end with an order of eviction.
7.) Get an advisor before handing over the keys
There are ways to pay back your debt, but sometimes the worst is to hand over the keys. Because it will not help your situation and you will still need to pay back the sum.
8.) Sell it if you cannot pay it back
Start with the selling well on time if you see that you won’t be able to cover the total amount of the credit. This way you will not be blacklisted from other credits and you can win some on the transaction while you will not see any money if your property is put on auction by the credit institute.
9.) Always turn up to court hearings
Failure to turn up at court hearings can easily result in the court deciding against your interest in your absence.
10.) Be aware of your rights
In the UK, according to current laws the bailiffs have to give you 7 days to vacate the home. They cannot repossess anything else but the property so everything in there should be taken away.
We hope this helps you in thinking through your options before going for a credit or helps you find the way out from debt if the worst is to happen.