What is Repossession? debt-simple

Repossession

What is Repossession?

‘Repossession is a legal process that occurs when a lender obtains a court order to take possession of a property due to non payment of the mortgage.’

Repossession Explained

Missed mortgage payments

The initial correspondence is in the form of a letter reminding you, that you have missed payments on your mortgage. You will be asked to contact your mortgage lender to discuss the situation and a possible solution to clear arrears.
If you do not come to a suitable proposal to clear your arrears and if the situation gets worse, your lender will write to you again stating you must clear your arrears immediately and make contact with them or their appointed solicitors will be in touch

Possession Order

Your lender can now apply to the court for a possession order to take over the property.

Eviction

If the possession order is granted, it will normally be accompanied by a legal eviction of all occupants. You can only be evicted if your lender has followed the correct procedure and has legal grounds.

Credit Rating

Your credit rating will be seriously affected and it is unlikely you will be able to buy a house again.
Repossession doesn’t happen automatically and it’s possible to stop the process at any time.

It is important to seek advice if you feel your lender is undertaking repossession proceedings against you.