British lenders will seize property or force people to sell their homes rather than forcing imprisonment in the case of unpaid debt, Credit Action has stated.
The money education charity said lenders of mortgages and secured debt would try to "recoup their money" through action on property rather than attempting to have people imprisoned.
Spokesperson Chris Tapp said people "could end up homeless" or, in the case of unsecured debt, could face county court judgements and bailiffs.
He said action depends on the nature of the debt, noting that with the exception of water, which cannot be denied, people may have their utilities switched off if they cannot pay.
Total personal debt in the UK was £1,443 billion at the end of May.
Secured lending on homes at the end of May totalled £1,210 billion, having increased 8.2 per cent in the last 12 months.
Consumer credit has increased seven per cent in the last 12 month to £233 billion in May.
Source: moneynews.co.uk
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