Repossession
Legal & insolvencyWhen a lender takes back an asset after missed payments on a secured loan.
Overview
Repossession can happen with mortgages or car finance when payments fall behind.
It is a serious event with long-term credit impact.
Why it matters
- It can significantly damage your credit profile.
- It can lead to legal and financial consequences.
- It can affect future borrowing and housing.
FAQs
Does repossession show on my credit report?
Yes. It is typically recorded as a major negative event.
Can I prevent repossession?
Contact your lender early to discuss options if you are struggling.
Related terms
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