FAQ

Will I lose my home?

If you become bankrupt you will risk losing your home as your assets will be included so that they can be used to pay off your debts. This is one of the reasons that an IVA is a better alternative. With an IVA you can request that assets such as your home are not included. However, creditors have to agree to this. Other advantages of an IVA are that you will not be disqualified from being a company director as you would in the case of bankruptcy, so your business should not be adversely affected either.

The only other way you are at risk of losing your home is if you have secured debt. This means that there is a charge over your home or other assets so that if you default on repayments the lender ultimately has the power to seize those assets. Secured debts usually take the form of mortgages, remortgages or loans secured to a particular asset. However, loans can be unsecured as well, so if you have defaulted on a loan it doesn’t necessarily mean that you will lose your home. It is best checking with the loan company though to make sure that the loan isn’t secured.

Debts that are secured on your home or other asset are known as priority debts. When our debt management companies arrange a repayment plan for you a primary consideration is making sure that you can afford to pay your priority debts first. If you are struggling to meet your mortgage repayments, we may be able to source a remortgage at a preferential rate or an extended term. Please fill in our online form to obtain more details.

Give us 5 minutes and we'll give you:

  • Advice on all debt solutions that you may apply for
  • If your debt can be written off
  • Explain any interest or charges that can be frozen
  • Honest, no obligation advice

Some solutions, such as a Debt Management Plan or an Individual Voluntary Arrangement involve costs when the plan is set up.  These costs are there to cover the expenses and work undertaken on your behalf.  You will always be told clearly about any costs upfront.  Other solutions, such as a Bankruptcy incur costs which are payable to the Court; Debt Relief Orders incur costs which are payable to the Insolvency service.

Debt Direct is a trading name of Tatstar Limited. Tatstar holds a consumer credit license to offer debt counseling. Your enquiry will be passed to a selected third party who will contact you to discuss the most appropriate solution for your circumstances.