Having said that, if you fall behind on credit cards, your lender will quickly try to transition from an unsecured creditor, who can’t take your stuff, to a secured creditor who can. The goal of credit card lawsuits is to strengthen the lender’s collection position. Credit card debt is unsecured debt. In order to lose your home, several things would have to happen. First, you would have to be sued in court and lose. If that were to happen your creditors would receive a judgment against you ordering you to pay. If you could not pay, a card issuer could take further action to enforce the order. No, Unsecured is exactly That Unsecured by any collateral. Now the process is that after they write off the debt a collection agency can take you to. Unsecured debt, which includes credit cards and meaning creditors can’t take the entire value of your home to Get a Credit Report for Renting a House; Can Your mortgage loan, for example, is secured by your home. If you stop making house payments, your lender can foreclose on the property. Unsecured creditors do not have the automatic right to seize and sell your home. They can, however, earn this right by taking you to court. with an ‘unsecured’ debt. The Mirror’s Your Money editor when they take out unsecured credit. on credit cards. A creditor can only apply .
Credit card debt is an unsecured loan. No one can foreclose on your home to recover an unsecured debt. They could have a judgment. But they cannot take your home away for credit card debt. Can Credit Card Debt Collection Can they sue or take my home? Thank you for any the Bankrupcy and it is for an unsecured credit card. What can I do to to If you have a mortgage or deed of trust on your house, or an open home equity line of credit, you must make payments on time to keep the house. If you don’t, the lender can and probably will foreclose on your house, because it is collateral for your debt. But foreclosures are not as quick as vehicle repossessions. .