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
Explore further
Take control of your credit health
Get the complete credit toolkit with all features included.
Start building creditInstant setup. No credit check to join. 14-day money-back guarantee.