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The debt is regarded as a separate account once it is in the possession of a collection agency. If you don't pay, the collection agency may file a lawsuit. Depending on how the case turns out, the court may seize your property or garnish your income to recover the money you owe.
They'll usually contact you by letter or phone, and in some cases they may visit you at home. If you're in a lot of arrears and you haven't made some arrangement to pay them back your creditors might eventually start court action.
Check if you can get a Debt Relief Order (DRO) If you get a DRO, you won't pay anything towards the debts in the order for 12 months. At the end of the 12 months you'll no longer owe those debts. While the DRO is in place your creditors can't ask you to pay any debts included in it or start any action against you.
I would be very grateful if you would consider writing off the outstanding debt owing. I have always taken my financial responsibilities very seriously but unfortunately, my circumstances are so bad that I cannot realistically maintain payments of any kind.
How To Pay Off Debt With Little To No Money: 9 Tips Calculate How Much Money You Owe. ... Avoid Taking On More Debt. ... Establish A Budget. ... Cut Areas Of Spending. ... Negotiate Existing Bills. ... Implement A Debt Repayment Strategy. ... Explore Side Hustles. ... Consider A Debt Consolidation Plan.