Are credit cards secured debt by default now?

gman41

Hi
Just a quick Question are credit cards secured debt now by default?


If you miss payments the bank will send your account to a Debt collection company, who CAN apply for a CCJ with that EVEN IF PAYMENTS ARE UP TODATE, can apply for a charging order against your house!


May I ask if you knew this would you take out the credit card in the first place and was it clear this could happen?????


Is this mis selling?


:money::money:

[Deleted User]

No, they're not secured debt by default.

Certainly no mis-selling, although obviously there's a case for mis-using.

gman41

Yes mis using...I agree, but your income or Job is not always there, you have to keep the Mortgage payments going...
when you cant afford the credit card, you do default!


May I ask at what point when you signed up for the credit card was you informed it 'MAY' be placed againt your HOME!


please respond!

[Deleted User]

I knew long before I took out a credit card that any debt has the potential to be secured against your home if you don't pay it back. If you need an answer, I'd guess somewhere around the age of 13.

It's not a special feature of credit cards.

gman41

They are sold as 'unsecured' thats my point!

gman41

by the way you are saying I 'dont' pay it back
I AM
just what I can afford!!!!

[Deleted User]

They are. It's only when you break that agreement that it goes into the legal sphere, which is non credit specific and follows standard legal routes.

Nothing to do with the card.

[Deleted User]

gman41 wrote: »

by the way you are saying I 'dont' pay it back
I AM
just what I can afford!!!!

I'm not saying you don't pay it back at all.

gman41

Still sold as unsecured.
and may I add Advertised as this!




WRONG!

[Deleted User]

gman41 wrote: »

Still sold as unsecured.
and may I add Advertised as this!




WRONG!

You're not wrong. Why are you saying you are?

It's marketed as unsecured. If you move outside out of that contract, then the terms no longer apply.

molerat

Almost any unsecured debt can be secured against your property via a charging order gained through the courts if you fail to keep up your side of the agreement. A credit card is not by default secured borrowing.