Repossession on unsecured loan?greenspun.com : LUSENET : Repossession : One Thread
Following up on my previous message: I now understand that a creditor can reposses your home, through the court, even if the loan was not secured on any property. What then is actually the point of having an unsecured loan, rather than a (lower-interst rate) secured loan??? Or do I miss the point.
-- Idob (firstname.lastname@example.org), February 18, 2000
They can, but it would be a very long process and (probably) in most cases it is almost impossible.
You would have to have a County Court Judgment awarded against you, then the creditor would have to apply for a Charging Order (firstly nisi, then absolute). Once this is done the court may make an order to force you to sell up, but if, in the meantime, you offer to pay (make the offer to the court) they will suspend other action.
Hope this helps
-- Mark O'Keeffe (email@example.com), February 18, 2000.