Q: Can Creditors Take Legal Action Against Me, or Repossess My Home/Vehicle While I’m in Debt Review?
A: If you stay up to date with your Debt Review repayment plan your creditors will not be able to take legal action against you – including repossession.
Even with the above said, creditors could try to intimidate and threaten you (which is unethical and unlawful). When a creditor harasses you, you can take the following steps:
- Record all details of the harassment.
- Inform the creditor to contact DebtSafe.
- Contact a DebtSafe Debt Counsellor and instruct them to open a Creditor Harassment Incident Report.
The DebtSafe Debt Counsellor will then handle the situation for you further.
Regarding vehicle repossession: Under no circumstances do you hand over your vehicle. Debt Collectors use illegal, dishonest, ways to trick you into giving up your vehicle. If confronted by them, do not sign anything and contact one of the DebtSafe Debt Counsellors immediately.
Repossession is only legal when a Warrant of Delivery is handed to you by the Sheriff, and not in any other circumstances.