Save Your House or Car from Repossession

The possibility of losing your car or house can be frightening. If you’ve missed a payment on your car loan or your mortgage, don’t panic. You still have options to avoid any repossession of your valuables. 

Debt Busters can help you take control of your finances and your future.

Whether you just forgot to send your payment in on time or you can’t afford the full amount, there are steps you can take to save your house or car from repossession. 

However, it’s important that you act quickly. The sooner you take action, the more options you have to protect your credit and your belongings. Contact a debt specialist at Debt Busters to get started today.

How Does Repossession Work?

Repossession is when your credit provider takes ownership of your car or your house in order to sell them to get some money back. This only happens when your loan is secured against an asset, like a car or your home.

When can your credit provider start the repossession process?

  • You’re behind on your payments
  • They have provided you (and your guarantor, if you have one) with a default notice
  • You’ve been given a 30-day notice period to take action


When you’re given a 30-day notice period, you will be able to either pay the amount due, negotiate an alternative resolution, or lodge a request to postpone the repossession.

It’s important to note that if you owe under $10,000 or less than 25% of your loan (whichever is less), your credit provider needs a court order in order to repossess your goods.

How Can You Stop Repossessions?

Luckily, you can stop repossessions in a number of ways.

The easiest way is to simply pay the overdue amount or paying out the credit in full. Of course, this isn’t an option for many people. These costs can be high, and you might find yourself unable to afford even one payment.

If you can’t afford your payment, your next step should be to talk to your lender. Many have hardship programs available for those who are unable to meet their deadlines due to either temporary or long-term financial problems.

You might be able to adjust the terms of your loan, push back the payment deadline, or seek deferment. Explaining the context of your missed payment could go a long way towards making lenders more willing to cut you a break. For example, perhaps you lost your job or you’re dealing with a temporary setback. These things show lenders that you will likely be able to resume your original payment schedule shortly.

Before agreeing to any new plan with your lender, make sure to consult an expert. The friendly professionals at Debt Busters can help you negotiate with your lender to come up with a solution that works for everyone.

What Are Your Rights?

During a repossession, it’s important to remember that you have rights.

First, lenders must provide you with a default notice and 30-days warning. Without this, they are not legally allowed to take action against you.

Similarly, no one can enter your property or take your goods without a court order or written consent from you. In the case of written consent, the lender needs to have given you written notice explaining how they cannot enter your home without your consent.

The only thing to note is that if your car is parked on a public street, your lender is legally allowed to tow it without your consent. If your car is facing repossession, make sure to always park it on your own property such as in your garage.

How Much Time Do You Have Before Repossession of Goods?

As we mentioned before, you have 30 days after receiving written notice to take action with your lender. After the 30 days are up, your lender will need to receive either a court order or written permission from you to start the repossession of goods.

How long this takes will depend on the lender, which is why it’s good to take action before you receive your 30-day notice.

If you’re facing home repossession (aka foreclosure), this is a lengthy process. The lender will need to take you to court in order to sell your home. Once the court grants your mortgage lender possession of your home, you will receive a letter telling you to move out. A sheriff will also change the locks on the property.

This might sound scary, but it doesn’t have to be. If you take action early, you still have time to avoid all of these intimidating outcomes that come with repossession.

What Happens To My Credit Score After Repossession of Goods?

What happens to your credit score after your car or home is repossessed?

Any type of missed payment or default will appear as a black mark on your credit report, impacting your credit rating. If your vehicle or home is repossessed, this is an additional mark against you.

It’s also important to realise that after the sale of your property, this might not be enough to cover all of your losses. You might be asked to pay any remaining balance on the loan.

These repossessions will take years to come off your credit report. It is possible to have these delinquent marks removed by contacting your lender, especially if you’ve already paid any outstanding debt in full. Again, you need the proper team of experts on your side.

Options For Saving Your Car Or House From Repossession

Luckily, you have options. When it comes to repossession of goods, we know that everyone is different. We’ll take the time to get to know you and create a solution that works for you.

Debt Busters can help with:


It’s important to act fast to keep your options open. Everyone struggles with their debt payments from time to time. It’s vital that you keep your problems from escalating further.

Avoid repossessed cars and foreclosed homes with Debt Busters. We’ll leverage our industry experience to create a tailored debt solution that will get you back on track. For more information about our repossession services, please get in touch with a member of our team now.